Hello Imran Shamszadeh
Welcome to Microsoft Q&A Platform, thanks for posting your query here.
Yes, that's correct. Resource group names can only contain alphanumeric characters and must be between 1 and 46 characters long.
If you have a dot in your resource group name, you will need to rename it without the dot. You can use letters, numbers, and hyphens in your resource group name.
After you have renamed your resource group, you can use the new name in your configuration.
Ref: https://learn.microsoft.com/en-us/azure/azure-resource-manager/management/resource-name-rules
Hope that helps.