Microsoft Fabric: Capacity Options and Cost Management, Part 1

Microsoft Fabric is a SaaS platform that allows users to get, create, share, and visualise data using a wide set of tools. It provides a unified solution for all our data and analytics workloads, from data ingestion and transformation to data engineering, data science, data warehouse, real-time analytics, and data visualisation. In a previous blog post, I explained the basics of the Microsoft Fabric data platform. In a separate blog post, I explained some Microsoft Fabric terminologies and personas where I explained what Tenant and Capacities are.

In this blog post, we will explore the different types of Fabric capacities, how they affect the performance and cost of our Fabric projects, and how you can control the capacity costs by pausing the capacity in Azure when it is not in use.

Fabric capacity types

Fabric capacities are the compute resources that power all the experiences in Fabric. They are available in different sizes and prices, depending on our needs and budget. We can currently obtain Fabric capacities in one of the following options:

From the Azure portal.
Purchase (or leverage an existing) Power BI Premium subscription (turning on the Fabric switch via the Admin Portal).
Or start using it for free by enabling the Fabric Trial.

If we want to purchase Microsoft Fabric capacities on Azure, they come in SKUs (Stock Keeping Units) sized from F2 – F2048, representing 2 – 2048 CU (Capacity Units). A CU is a unit of measure representing the resource power available for a Fabric capacity. The higher the CU, the more resources we get on our Fabric projects. For example, an F8 capacity has 8 CUs, which means it is four times more powerful than an F2 capacity, which has 2 CUs.

When purchasing Azure SKUs with a pay-as-you-go subscription, we are billed for compute power (which is the size of the capacity we choose) and for OneLake storage, which is charged for the data stored in OneLake per gigabyte per month (approximately $0.043 (New Zealand Dollar) per GB). OneLake is the unified storage layer for all the Fabric workloads. It allows users to store and access our data in a secure, scalable and cost-effective way.

Azure Fabric capacities are priced uniquely across regions. The pay-as-you-go pricing for a Fabric capacity at Australia East region is $0.3605 (NZD) per CU per hour, which translates to a monthly price of $526.217 (NZD) for an F2 ($0.3605 * 2 * 730 hours).

It is important to note that billing is per second with a one-minute minimum. Therefore, we will be billed for when the capacity is not in use. Here is a full list of prices available at the Azure portal by selecting our Fabric capacity region.

Now that we have an indication of the costs of owning Microsoft Fabric capacities let’s explore the methods to control the cost.

Nuances of Fabric’s Cost of Ownership

It is important to note that all the math we have gone through in the previous section is just about the capacity itself. But are there any other costs that may apply? The answer is it depends. If we obtain any SKUs lower than F64, we must buy Power BI Pro licenses per user on top of the capacity costs. For the tiers above F64, we get unlimited free users but, BUT, we still have to purchase Power BI Pro licenses for all developers on top of the cost of the capacity itself.

Another gotcha is that the Fabric experiences are unavailable to either Power BI Premium (PPU) users or the Power BI Embedded capacities. Just be mindful of that.

The good news for organisations owning Power BI Premium capacities is that you do not need to do anything to leverage Fabric capabilities. As a matter of fact, you already own a Fabric capacity, you just need to enable it on your tenant.

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Microsoft Fabric is a new platform designed to bring together the data and analytics features of Microsoft products like Power BI and Azure Synapse Analytics into a single SaaS product. Its goal is to provide a smooth and consistent experience for both data professionals and business users, covering everything from data entry to gaining insights. A new data platform comes with new keywords and terminologies, so to get more familiar with some new terms in Microsoft Fabric, check out this blog post.

As mentioned in one of my previous posts, Microsoft Fabric is built upon the Power BI platform; therefore we expect it to provide ease of use, strong collaboration, and wide integration capabilities. While Microsoft Fabric is getting more attention in the market, so we see more and more organisations investigating the possibilities of migrating their existing data platforms to Microsoft Fabric. But what does it mean for seasoned Power BI developers? What about Power BI professional users such as data analysts and business analysts? In this post, I endeavor to answer those questions.

I have been blogging predominantly around Microsoft Data Platforms and especially Power BI since 2013. But I have never written about the history of Power BI. I believe it makes sense to touch upon the history of Power BI to better understand the size of its user base and how introducing a new data platform that includes Power BI can affect them. A quick search on the internet provides some interesting facts about it. So let’s take a moment and talk about it.

The history of Power BI

Power BI started as a top-secret project at Microsoft in 2006 by Thierry D’Hers and Amir Netz. They wanted to make a better way to analyse data using Microsoft Excel. They called their project “Gemini” at first.

In 2009, they released PowerPivot, a free extension for Excel that supports in-memory data processing. This made it faster and easier to do calculations and create reports. PowerPivot got quickly popular among Excel users, but it had some limitations. For example, it was hard to share large Excel files with others, and it was not possible to update the data automatically.

In 2015, Microsoft combined PowerPivot with another extension called Power Query, which lets users get data from different sources and clean it up. They also added a cloud service that lets users publish and share their reports online. They called this new product Power BI, which stands for Power Business Intelligence.

In the past few years, Power BI grasped a lot of attention in the market and improved a lot to cover more use cases and business requirements from data transformation, data modelling, and data visualisation to combining all these goods with the power of AI and ML to provide predictive and prescriptive analysis.

Who are Power BI Users?

Since its birth, Power BI has become one of the most popular and powerful data analysis and data visualisation tools in the world used by a wide variety of users. In the past few years, Power BI generated many new roles in the job market, such as Power BI developer, Power BI consultant, Power BI administrator, Power BI report writer, and whatnot, as well as helping many others by making their lives easier, such as data analysts and business analysts. With Power BI, the data analysts could efficiently analyse the data and make recommendations based on their findings. Business analysts could use Power BI to focus on more practical changes resulting from their analysis of the data and show their findings to the business much quicker than before. As a result, millions of users interact with Power BI on a daily basis in many ways. So, introducing a new data platform that sort of “Swallows Power BI” may sound daunting to those whose daily job relates to content creation, maintenance, or administrating Power BI environments. For many, the fear is real. But shall the developers and analysts be afraid of Microsoft Fabric? The short answer is “Absolutely not!”. Does it change the way we used to work with Power BI? Well, it depends.

To answer these questions, we first need to know who are Power BI users and how they interact with it.

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In this blog post, I will explain some of the key concepts, personas, and terminologies related to Microsoft Fabric, a SaaS analytics platform for the era of AI. If you are not familiar with the basic concepts of SaaS analytics platforms and how Microsoft Fabric fits in, I recommend you read my previous blog post, where I explain them in detail.

Microsoft Fabric is an experience-based platform, meaning users can interact with it depending on their roles and personas. For example, a data engineer can use the Data Engineering experience to perform large-scale data transformation through the lakehouse. A data scientist can use Data Science experience to develop AI models on a single foundation without data movement. A business analyst can use the Power BI experience to create and consume interactive reports and dashboards. And a data steward can use the Data Activator experience to govern and secure data across the organisation.
The Data Activator experience is in private preview and is not available for public use yet!

Microsoft Fabric Terminologies

To understand how Microsoft Fabric works, it is crucial to know some of the terminologies that are used in the platform. Some of them are existing terms that are also used in Power BI or Azure services, while some of them are new and specific to Microsoft Fabric. Here are some of the key terms that you should know:

Tenant: A tenant is a dedicated instance of Microsoft Fabric that is provisioned for an organisation or a department within an organisation. A tenant has its own set of users, groups, permissions, capacities, workspaces, items, and experiences. A Fabric tenant is associated with an Azure Active Directory (AAD) tenant, which is a directory service that the organisations own when they sign up for a Microsoft cloud service such as Azure, Microsoft 365, Power BI, etc. AAD provides identity and access management for cloud applications. A tenant in Microsoft Fabric can only be accessed by users who belong to the same AAD tenant.
Capacity: Capacity is a term that refers to the amount of resources available to support a computing service. In the context of SaaS applications, capacity refers to the ability of the system to handle a certain amount of load or demand based on the required resources and infrastructure such as compute power (CPU, RAM, etc.), storage, network bandwidth and whatnot. As explained in my previous post, Microsoft Fabric is a SaaS platform. So, from a Microsoft Fabric perspective, capacities are sets of resources that are allocated to a tenant to run analytics workloads. The capacities sit in a tenant, and the available resources can be shared by multiple workspaces or dedicated to a single workspace for better performance and isolation. Microsoft Fabric capacities are available in various F SKUs that offer different levels of resources and features. For more information about capacities and SKUs, see Microsoft Fabric Capacity and SKUs.
Workspace: A workspace is a logical container that holds a collection of items and artefacts. A workspace can have one or more owners who can manage its settings and permissions and one or more members who can access its items. A workspace can also be assigned to a capacity to run its analytics workloads. In Microsoft Fabric, workspaces are based on Power BI workspaces.

The above terms also apply to Power BI, so they have been used within the community for a long time. The hierarchy starts with an organisation acquiring their potential Tenants, and then the purchased Capacities are available to tenants and the Workspaces that are assigned to capacities.

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Microsoft Fabric is a new and unified analytics platform in the cloud that integrates various data and analytics services, such as Azure Data Factory, Azure Synapse Analytics, and Power BI, into a single product that covers everything from data movement to data science, real-time analytics, and business intelligence. Microsoft Fabric is built upon the well-known Power BI platform, which provides industry-leading visualization and AI-driven analytics that enable business analysts and users to gain insights from data.

Basic concepts

On May 23rd 2023, Microsoft announced a new product called Microsoft Fabric at the Microsoft Build conference. Microsoft Fabric is a SaaS Analytics Platform that covers end-to-end business requirements. As mentioned earlier, it is built upon the Power BI platform and extends the capabilities of Azure Synapse Analytics to all analytics workloads. This means that Microfot Fabric is an enterprise-grade analytics platform. But wait, let’s see what the SaaS Analytics Platform means.

What is an analytics platform?

An analytics platform is a comprehensive software solution designed to facilitate data analysis to enable organisations to derive meaningful insights from their data. It typically combines various tools, technologies, and frameworks to streamline the entire analytics lifecycle, from data ingestion and processing to visualisation and reporting. Here are some key characteristics you would expect to find in an analytics platform:

Data Integration: The platform should support integrating data from multiple sources, such as databases, data warehouses, APIs, and streaming platforms. It should provide capabilities for data ingestion, extraction, transformation, and loading (ETL) to ensure a smooth flow of data into the analytics ecosystem.
Data Storage and Management: An analytics platform needs to have a robust and scalable data storage infrastructure. This could include data lakes, data warehouses, or a combination of both. It should also support data governance practices, including data quality management, metadata management, and data security.
Data Processing and Transformation: The platform should offer tools and frameworks for processing and transforming raw data into a usable format. This may involve data cleaning, denormalisation, enrichment, aggregation, or advanced analytics on large data volumes, including streaming IOT (Internet of Things) data. Handling large volumes of data efficiently is crucial for performance and scalability.
Analytics and Visualisation: A core aspect of an analytics platform is its ability to perform advanced analytics on the data. This includes providing a wide range of analytical capabilities, such as descriptive, diagnostic, predictive, and prescriptive analytics with ML (Machine Learning) and AI (Artificial Intelligence) algorithms. Additionally, the platform should offer interactive visualisation tools to present insights in a clear and intuitive manner, enabling users to explore data and generate reports easily.
Scalability and Performance: Analytics platforms need to be scalable to handle increasing volumes of data and user demands. They should have the ability to scale horizontally or vertically. High-performance processing engines and optimised algorithms are essential to ensure efficient data processing and analysis.
Collaboration and Sharing: An analytics platform should facilitate collaboration among data analysts, data scientists, and business users. It should provide features for sharing data assets, analytics models, and insights across teams. Collaboration features may include data annotations, commenting, sharing dashboards, and collaborative workflows.
Data Security and Governance: As data privacy and compliance become increasingly important, an analytics platform must have robust security measures in place. This includes access controls, encryption, auditing, and compliance with relevant regulations such as GDPR or HIPAA. Data governance features, such as data lineage, data cataloging, and policy enforcement, are also crucial for maintaining data integrity and compliance.
Flexibility and Extensibility: An ideal analytics platform should be flexible and extensible to accommodate evolving business needs and technological advancements. It should support integration with third-party tools, frameworks, and libraries to leverage additional functionality.
Ease of Use: Usability plays a significant role in an analytics platform’s adoption and effectiveness. It should have an intuitive user interface and provide user-friendly tools for data exploration, analysis, and visualisation. Self-service capabilities empower business users to access and analyse data without heavy reliance on IT or data specialists.
These characteristics collectively enable organisations to harness the power of data and make data-driven decisions. An effective analytics platform helps unlock insights, identify patterns, discover trends, and drive innovation across various domains and industries.

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Category: OneLake

Microsoft Fabric: Capacity Options and Cost Management, Part 1; The Basics

Fabric capacity types

Nuances of Fabric’s Cost of Ownership

Unveiling Microsoft Fabric’s Impact on Power BI Developers and Analysts

The history of Power BI

Who are Power BI Users?

Microsoft Fabric: A SaaS Analytics Platform for the Era of AI

Basic concepts

What is an analytics platform?

Fabric capacity types

Nuances of Fabric’s Cost of Ownership

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The history of Power BI

Who are Power BI Users?

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Microsoft Fabric Terminologies

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Basic concepts

What is an analytics platform?

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