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PowerBI Components placement Azure tenant or On-premises?


We are planning on setting up PowerBI Premium P1 for our medium-sized enterprise as our future analytics and reporting platform.

We already have an Azure tenant setup in the cloud support our cloud Snowflake EDW and we have Microsoft SQL Server Managed Instance for our necessary SQL databases in that Azure tenant.

I see that the PowerBI service guidance is to install in the Azure tenant.

However, for PowerBI Report Server, PowerBI Data Gateway components, I see the guidance is "Install on-premises now, with cloud in the future".   What does this mean?

Am I able to install these components in Azure tenant?

Super User
Super User

Power BI is a SaaS service, you don't need to configure anything you just sign up for the service and start using it. See here for how to sign up Self-service sign up for the Power BI service as an individual - Power BI | Microsoft Learn 


There is more information on getting started here Getting Started with Power BI for Free | Microsoft Power BI


And there are guidance documents here Power BI guidance documentation - Power BI | Microsoft Learn

Super User
Super User

Power BI Report Server is designed for companies that cannot use the Power BI cloud service for running their reports. If you can run your reports on the cloud you should do that instead since the cloud service has a much richer feature set.


The Data Gateway is used to help transfer data across network boundaries. If you have on-prem data you need to install 1 or more gateways on-prem. If you have data in Azure behind VNETs you need to install the gateway on a VM in that VNET (there is a managed VNET Gateway coming soon, it's currently in public preview)

Thanks for the reply.

The information was useful in that we just need to configure the PowerBI Service in Azure.

Could you direct us to the best implementation guide for this?

Many thanks in advance!

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