AZ-900 Cloud Concepts — Domain 1 Study Notes 2026

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AZ-900 - Microsoft Azure FundamentalsOct 26, 202610 min readFacts verified Oct 25, 2026 against Microsoft
AZ-900 Cloud Concepts — Domain 1 Study Notes 2026

Domain 1 Overview: Cloud Concepts (25-30% of the AZ-900 Exam)

Cloud Concepts is the first and largest domain on the AZ-900 Microsoft Azure Fundamentals exam, accounting for 25-30% of all exam questions. If you skip this domain, you are leaving roughly one-third of the exam to chance. Practice with the free AZ-900 practice test on PracticeTestGeeks (300+ questions with answer explanations).

Domain 1 tests your ability to define what cloud computing is, articulate its core benefits, and distinguish between the major service and deployment models. These are conceptual questions — no hands-on Azure portal work required — which makes them approachable but also surprisingly tricky. Microsoft tests precise vocabulary.

What Is Cloud Computing?

The official Microsoft definition: Cloud computing is the delivery of computing services — including servers, storage, databases, networking, software, analytics, and intelligence — over the internet to offer faster innovation, flexible resources, and economies of scale.

The key phrase is over the internet. Cloud computing replaces on-premises hardware ownership with on-demand access to a shared pool of configurable resources. You pay for what you use (the consumption-based model) rather than purchasing and maintaining physical infrastructure.

For a broader foundation, see the AZ-900 Complete Exam Guide, which covers all five domains in one place.

  • Microsoft Exam AZ-900 gives candidates 45 minutes to complete the exam, within a 65-minute appointment. (Microsoft)
  • Microsoft fundamentals exams such as AZ-900 have a 45-minute exam duration and a 65-minute seat duration. (Microsoft)
  • Microsoft Exam AZ-900 requires a scaled score of 700 or greater on a scale of 1 to 1,000 to pass. (Microsoft)
  • Candidates must pay to retake Microsoft Exam AZ-900 where a fee applies. (Microsoft)
  • The Microsoft Certified: Azure Fundamentals certification does not expire. (Microsoft)
  • Because Microsoft fundamentals certifications do not expire, Azure Fundamentals needs no renewal. (Microsoft)
  • Microsoft Exam AZ-900 (Azure Fundamentals) is scheduled through Pearson VUE, or through Certiport for students and educators. (Microsoft)
  • Candidates for Microsoft Exam AZ-900 should have skills and experience working with an area of IT such as infrastructure management, database management or software development. (Microsoft)

Facts verified Oct 25, 2026 against Microsoft. Dates that have passed are removed automatically.

AZ-900 Exam at a Glance

ItemDetailOfficial source
Time limit45 minutes (65-minute seat time)Microsoft
Time limit (seat time)65 minutes seat timeMicrosoft
Passing score700 on a 1–1,000 scaleMicrosoft
Retake feePayment required for each retake (if applicable)Microsoft
ValidityDoes not expireMicrosoft
RenewalNo renewal requiredMicrosoft
DeliveryPearson VUE (all candidates) or Certiport (students and educators)Microsoft
EligibilityNo formal prerequisite; IT experience recommendedMicrosoft
Registration opensSchedule up to 90 days in advanceMicrosoft

Facts verified Oct 25, 2026 against Microsoft. Dates that have passed are removed automatically.

Free AZ-900 Study Tools

Interactive AZ-900 resources on PracticeTestGeeks, free to start:

  • AZ-900 — 16 questions with instant scoring and answer explanations
  • AZ-900 study guide — topic-by-topic overview of what the exam covers

The Shared Responsibility Model

The shared responsibility model defines who is accountable for what in a cloud environment. Microsoft divides responsibilities between the cloud provider (Microsoft Azure) and the customer. The split depends on the service model.

ResponsibilityIaaSPaaSSaaS
Physical datacenter, network, hostsAzureAzureAzure
Operating SystemCustomerAzureAzure
Network ControlsCustomerSharedAzure
ApplicationsCustomerCustomerAzure
Data & IdentitiesCustomerCustomerCustomer

One rule that never changes: The customer is always responsible for their own data and user identities, regardless of whether they use IaaS, PaaS, or SaaS. Azure is always responsible for the physical hardware and datacenters.

Cloud Deployment Models

The AZ-900 exam tests three deployment models. Know the definitions and the trade-offs:

Public Cloud

Resources are owned and operated by a third-party cloud provider (like Microsoft Azure) and delivered over the internet. Multiple organizations share the same physical infrastructure, though data and workloads remain logically isolated. No CapEx required — you pay only for what you use.

  • Pros: No upfront hardware cost, infinite scale on demand, global availability, managed security
  • Cons: Less control over physical infrastructure, potential compliance constraints for regulated industries
  • Example: Running a web app on Azure App Service — Microsoft owns and operates all the hardware

Private Cloud

Cloud infrastructure is provisioned exclusively for one organization. It can be hosted on-premises in the organization own datacenter or by a third-party provider, but dedicated hardware is not shared with anyone else.

  • Pros: Maximum control over hardware and data, meets strict regulatory requirements, customizable security
  • Cons: High CapEx, limited scalability compared to public cloud, customer manages everything
  • Example: Azure Stack Hub deployed in a company own datacenter

Hybrid Cloud

Combines public and private cloud environments with orchestration between them. Organizations keep sensitive workloads on-premises (private) while bursting to the public cloud for additional capacity or hosting less-sensitive applications publicly.

  • Pros: Maximum flexibility, phased cloud migration, compliance + scale
  • Cons: Most complex to manage, requires connectivity between environments
  • Example: Azure Arc connecting on-premises servers to Azure management plane

For a full domain-by-domain breakdown, the AZ-900 Study Guide 2026 organizes prep by exam weight and covers all domains systematically.

For a fuller set of questions on this topic, see our microsoft az 900 practice test resource.

For a fuller set of questions on this topic, see our az 900 pdf resource.

For a fuller set of questions on this topic, see our azure fundamentals (az-900) resource.

AZ-900 cloud service types comparison — IaaS PaaS SaaS diagram

CapEx vs. OpEx: The Economic Shift

One of the most-tested concepts in Domain 1 is the shift from Capital Expenditure (CapEx) to Operational Expenditure (OpEx).

CapEx (Capital Expenditure) is upfront spending on physical infrastructure: servers, racks, cabling, cooling. You pay once, own the asset, and depreciate it over time. You also guess future capacity needs — often over-provisioning (waste) or under-provisioning (bottleneck).

OpEx (Operational Expenditure) is ongoing spending for services consumed — pay-as-you-go. Cloud computing converts most IT spending from CapEx to OpEx. No upfront hardware purchase, no depreciation schedule, and you scale costs directly with usage.

The consumption-based model means you only pay for what you use. Azure meters CPU hours, GB of storage, data egress, API calls — all billed by consumption. This directly enables cost predictability: if usage drops, costs drop automatically.

For a complete walkthrough of exam preparation strategy, read How to Pass the AZ-900 Exam in 2026 — it includes a realistic study timeline and resource list.

You can also supplement your Domain 1 prep with a full AZ-900 Practice Test to identify which cloud concepts need more review before exam day.

  • ✓Define cloud computing using the Microsoft definition (delivery of computing services over the internet, consumption-based)
  • ✓Distinguish IaaS, PaaS, and SaaS — know at least two Azure examples for each service type
  • ✓Draw the shared responsibility model table from memory: what Azure always owns (physical), what customer always owns (data/identities)
  • ✓Explain public, private, and hybrid cloud deployment models including one real-world use case for each
  • ✓List all 7 cloud benefit terms (high availability, scalability, elasticity, reliability, predictability, security, manageability) and define each precisely
  • ✓Explain the difference between vertical scaling (scale up) and horizontal scaling (scale out) with an Azure example
  • ✓Articulate the CapEx to OpEx shift and why the consumption-based model benefits organizations
  • ✓Complete at least one timed AZ-900 practice test and review every Domain 1 question you missed
Azure cloud deployment models — public private hybrid cloud comparison
✅Pros
  • +Validates your knowledge and skills objectively
  • +Increases job market competitiveness
  • +Provides structured learning goals
  • +Networking opportunities with other certified professionals
❌Cons
  • −Study materials can be expensive
  • −Exam anxiety can affect performance
  • −Requires dedicated preparation time
  • −Retake fees apply if you don't pass

Sample AZ-900 Practice Questions

Try these questions from our free AZ-900 practice tests. The correct answer and an explanation follow each question.

  1. Which cloud deployment model combines on-premises infrastructure with public cloud resources?

  • A. Hybrid cloud
  • B. Public cloud
  • C. Private cloud
  • D. Community cloud

Answer: A. Hybrid cloud

A hybrid cloud connects on-premises (private) infrastructure with public cloud services.

  • A company wants to migrate its existing on-premises servers to the cloud to gain more flexibility and scalability. They want to maintain full control over the operating systems and installed software. Which cloud service model is the most appropriate choice for this scenario?

    • A. Software as a Service (SaaS)
    • B. Infrastructure as a Service (IaaS)
    • C. Platform as a Service (PaaS)
    • D. Serverless Computing

    Answer: B. Infrastructure as a Service (IaaS)

  • Infrastructure as a Service (IaaS) is the ideal model for migrating existing on-premises workloads, often referred to as 'lift and shift'. [11] It allows the company to rent IT infrastructure—servers and virtual machines (VMs), storage, networks, and operating systems—from a cloud provider on a pay-as-you-go basis, while still managing the OS and applications. [27]

  • A large financial institution needs to keep its sensitive customer data in a private, on-premises datacenter to meet strict regulatory requirements. However, they also want to leverage the scalability and services of the public cloud for their new, less sensitive marketing applications. Which cloud deployment model would best suit their needs?

    • A. Public Cloud only
    • B. Private Cloud only
    • C. Community Cloud
    • D. Hybrid Cloud
  • Answer: D. Hybrid Cloud

    A hybrid cloud combines a private cloud (or on-premises infrastructure) with a public cloud, allowing data and applications to be shared between them. [9] This model offers organizations greater flexibility and more deployment options, enabling them to keep sensitive data on a private network while using the public cloud for other workloads. [26, 31]

    Take the full AZ-900 practice test

    How this page was made: written with AI tools and published by Nathan Beja, founder of Practice Test Geeks, who is responsible for its content. Exam facts are checked against the official sources listed below. Not reviewed by a subject-matter expert. Editorial policy

    Sources & references

    Exam facts on this page (fees, format, dates, passing scores) are checked against these official sources; the date is our last check. Editorial policy

    1. learn.microsoft.com — Eligibility, renewal, score validity, registration, retake fee, passing score, time limit, test delivery, exam information · verified Nov 2026