Hello @anshuman-nath Thank you for posting your question on Microsoft Q&A platform and I apologize for the delayed response!
For your first question, As per support matrix - https://learn.microsoft.com/en-us/azure/site-recovery/azure-to-azure-support-matrix "Availability scenario - supported. Scalability scenario - not supported." meaning you can enable replication for VMSS VMs but cannot scale these VMs as per your requirement.
As per this Microsoft official document - https://learn.microsoft.com/en-us/azure/virtual-machine-scale-sets/virtual-machine-scale-sets-orchestration-modes#backup-and-recovery ASR is supported by VMSS Flex, but only through PowerShell.
For your second question, if you fixate the replication target only to Blue, it means that only the stable workload version serving production traffic will be replicated to the DR site. In case of a failover, the VMSS will be brought up using the replicated Blue version. However, this approach may not work in every subsequent app release cycle if there are significant changes to the VM template or the workload. In such cases, you may need to update the replication targets and policies in Azure Site Recovery. It is recommended to test the failover and failback scenarios after every app release cycle to ensure that the DR site is ready to handle any unplanned outages.
Hope this helps. Let us know how it goes!
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