Issue with the DL model deployement

Yes, this can happen when deploying Direct Lake semantic models across Fabric workspaces. Deployment pipelines do not automatically guarantee that the target workspace's data source connection and authentication settings will be configured correctly.

The recommended approach is to configure the data source connection and Workspace Identity in the target workspace, grant the identity the required permissions on the Warehouse, and verify the semantic model connection after deployment.

For smoother deployments, use deployment rules where supported and validate the connection settings in each environment.