This isn't related to Azure Maps as it doesn't provide the location. The location information comes from your device. Devices estimate your location using one of many methods, each having different levels of accuracy. I suspect the device you are using is unable to use a high accuracy method to get your location. You also need to agree to accessing your high-resolution location (some companies who manage settings on devices disable this). This is generally set on a per app level. In Windows, search for "Location privacy settings" and ensure location services is enabled, and that Teams has access. You can also set a default location for Windows to use in these settings to fallback on.
Here is a list of the main methods devices determine a user high-resolution location and its accuracy:
- WIFI 802.11mc FTM standard (WIFI 5 or newer, accuracy 1m-3m): One of the highest accuracy options. Requires both your device and the router to be running newer WIFI firmware. In enterprise routers this usually needs to be turned on by an administrator.
- Traditional WIFI triangulation (accuracy 5m - 15m): How most older devices determine a device's position. I believe it is possible for this capability to be disabled in enterprise grade WIFI routers.
- GPS location (accuracy 5 - 10m): fairly high accuracy unless you are in a building or very close to tall buildings. Requires your device to have a GPS chips (most phone, but limited computers have this).
- Bluetooth beacon triangulation (accuracy 1-3m): Mainly used for indoor positioning. Requires Bluetooth beacons devices to be installed in building to support triangulation, so less common.
- 5G triangulation (accuracy 3m - 25m): Similar to cell tower triangulation but uses better hardware for positioning. Requires your device to support 5G, and for there to be a 5G signal available.
If none of the above are available, high-resolution positioning disabled in computer, or required hardware or signals not available, one of the following methods are used as a fallback.
- Cell tower triangulation (accuracy 100m - 1000m): If you have a device that connects to the cell network, and 5G isn't available/supported, 3G/4G/LTE will estimate your position based on the pings from your device to the towers. This requires your device to be in an area where cell phone signals are available.
- Reverse IP address lookup (accuracy 5km - 50km): One of the least accurate methods of positioning, but one that is often used as a fallback when high-resolution positioning is not available, or when lower resolution positioning is preferred (e.g. user privacy/security).
All of the above said, it's also possible that the software/app or its settings are set to purposely use a lower resolution location for privacy and security reasons. However, it is most likely how your device gets your location, and if high-resolution positioning has been allowed to the software.