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Licensing for Microsoft Fabric

Reza Rad explains how licensing of Microsoft Fabric will work:

To understand the licensing for Microsoft Fabric, You first need to understand the Capacity structure. In Fabric, there are three important sections that the content can be organized into those; Tenant, Capacity, and Workspace.

Tenant is the most fundamental part of the structure of Fabric. Each domain can have one or multiple tenants.

The capacity is the substructure under the tenant. You can have one or multiple capacities in each tenant. Each capacity is a pool of resources that can be used for Microsoft Fabric services. There are different SKUs for different levels of resources. I’ll explain the pricing and SKUs shortly after.

Inside capacities, you will have workspaces. Workspaces are sharing units that will be used for developers and users. For example, you will create Lakehouse, Data Pipeline, and Dataflow inside a workspace, and you can share them with the rest of the developer team. A workspace is assigned to a capacity. However, you can have more than one capacity associated with one workspace. The screenshot below shows how Tenant, Capaicy, and Workspace work together.

Read on to understand at what level billing occurs, what the options are, and what it means. My gut is saying that F8 is probably the lowest acceptable tier for a real company’s production environment and F2 is more for dev environments or people trying things out. But we’ll know more, I think, in the next few months as people try things out.