Hello @Shreya Sanghavi ,
Thank you for reaching out to the Microsoft Q&A platform. Happy to answer your question.
The most common reasons for guest agent status to go "Not ready" are:
- The Linux VM guest agent(WALA) is out of the date/corrupted
- Guest agent is not communicate with WireServer IP (Host IP).
We have a detailed troubleshooting guide for this issue which covers both the above cases https://learn.microsoft.com/en-us/troubleshoot/azure/virtual-machines/linux-azure-guest-agent
Hope this helps.
Please "Accept as Answer" and Upvote if the answer provided is useful, so that you can help others in the community looking for remediation for similar issues.