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Error: "Creating embed token with effective identity is not supported for this datasource"
Embedding for our customers, and one of them is now getting this error on a few on their client workspaces. And here's the dataset in question... Telling us to do Effective Identity. Un...
My guess - your Azure SQL is configured with SSO enabled.
In "app owns data" scenario Power BI only has the embed token, which can't be used to access the data source.
You should either turn off SSO through Power BI portal, or if you wish to keep SSO enabled then in generate embed token request provide the token for accessing the data source in "identity blob" property
Reports do come up just fine in their power bi web portal