Now in general availability, Private Link enables users to have private connectivity from a Microsoft Azure Virtual Network to Azure SQL Database.
This feature creates a private endpoint which maps a private IP Address from the Virtual Network to your Azure SQL Database.
From security perspective, Private Link provides you with data exfiltration protection on the login path to SQL Database. Additionally, it does not require adding of any IP addresses to the firewall on Azure SQL Database or changing the connection string of your application.
Private Link is built on best of class Software Defined Networking (SDN) functionality from the Azure Networking team. Clients can connect to the Private endpoint from within the same Virtual Network, peered Virtual Networking the same region, or via VNet-to-VNet connection across regions. Additionally, clients can connect from on-premises using ExpressRoute, private peering, or VPN tunneling. More information can be found here
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