August 2025 Update Changed DirectQuery so each table now treated as separate connection

In a Direct Query semantic model using Value.NativeQuery for the same server and database (each value stored in a parameter) with calls to views and tables to an on-prem Sql Server will now be treated as separate sources - even if only a single source is used. Opening a DQ model will now show the warning below.

And every table will display with different coloring in Model View - this is new behavior as colors would only change if a different connection, Server or DB was used. This idea is for MS to change back to treating tables on the same connection from the same Server/DB as a single source in the model view with respect to the coloring of the tables. In the past, seeing a different color was a visual indicator that something was not quite right (unless you were truly using a different source). DQ models work best using a single source so the queries are handled at the source and not report side so it's very rare you would want to introduce multiple sources in a DQ model.

Confirmed with MS on a support ticket that this is intended behavior. There is an additional issue, the true bug, where the tables can't be refreshed in Model view. See below comment for the link to that post.