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Choose an Azure compute option for microservices

The term compute refers to the hosting model for the computing resources that your application runs on. For a microservices architecture, two approaches are especially popular:

  • A service orchestrator that manages services running on dedicated nodes (VMs).
  • A serverless architecture using functions as a service (FaaS).

While these aren't the only options, they are both proven approaches to building microservices. An application might include both approaches.

Service orchestrators

An orchestrator handles tasks related to deploying and managing a set of services. These tasks include placing services on nodes, monitoring the health of services, restarting unhealthy services, load balancing network traffic across service instances, service discovery, scaling the number of instances of a service, and applying configuration updates. Popular orchestrators include Kubernetes, Service Fabric, DC/OS, and Docker Swarm.

On the Azure platform, consider the following options:

  • Azure Kubernetes Service (AKS) is a managed Kubernetes service. AKS provisions Kubernetes and exposes the Kubernetes API endpoints, but hosts and manages the Kubernetes control plane, performing automated upgrades, automated patching, autoscaling, and other management tasks. You can think of AKS as being "Kubernetes APIs as a service."

  • Azure Container Apps is a managed service built on Kubernetes that abstracts the complexities of container orchestration and other management tasks. Container Apps simplifies the deployment and management of containerized applications and microservices in a serverless environment while providing the features of Kubernetes.

  • Service Fabric is a distributed systems platform for packaging, deploying, and managing microservices. Microservices can be deployed to Service Fabric as containers, as binary executables, or as Reliable Services. Using the Reliable Services programming model, services can directly use Service Fabric programming APIs to query the system, report health, receive notifications about configuration and code changes, and discover other services. A key differentiation with Service Fabric is its strong focus on building stateful services using Reliable Collections.

  • Other options such as Docker Enterprise Edition can run in an IaaS environment on Azure. You can find deployment templates on Azure Marketplace.


Sometimes people talk about containers and microservices as if they were the same thing. While that's not true — you don't need containers to build microservices — containers do have some benefits that are particularly relevant to microservices, such as:

  • Portability. A container image is a standalone package that runs without needing to install libraries or other dependencies. That makes them easy to deploy. Containers can be started and stopped quickly, so you can spin up new instances to handle more load or to recover from node failures.

  • Density. Containers are lightweight compared with running a virtual machine, because they share OS resources. That makes it possible to pack multiple containers onto a single node, which is especially useful when the application consists of many small services.

  • Resource isolation. You can limit the amount of memory and CPU that is available to a container, which can help to ensure that a runaway process doesn't exhaust the host resources. See the Bulkhead pattern for more information.

Serverless (Functions as a Service)

With a serverless architecture, you don't manage the VMs or the virtual network infrastructure. Instead, you deploy code and the hosting service handles putting that code onto a VM and executing it. This approach tends to favor small granular functions that are coordinated using event-based triggers. For example, a message being placed onto a queue might trigger a function that reads from the queue and processes the message.

Azure Functions is a serverless compute service that supports various function triggers, including HTTP requests, Service Bus queues, and Event Hubs events. For a complete list, see Azure Functions triggers and bindings concepts. Also consider Azure Event Grid, which is a managed event routing service in Azure.

Orchestrator or serverless?

Here are some factors to consider when choosing between an orchestrator approach and a serverless approach.

Manageability A serverless application is easy to manage, because the platform manages all compute resources for you. While an orchestrator abstracts some aspects of managing and configuring a cluster, it does not completely hide the underlying VMs. With an orchestrator, you will need to think about issues such as load balancing, CPU and memory usage, and networking.

Flexibility and control. An orchestrator gives you a great deal of control over configuring and managing your services and the cluster. The tradeoff is additional complexity. With a serverless architecture, you give up some degree of control because these details are abstracted.

Portability. All of the orchestrators listed here (Kubernetes, DC/OS, Docker Swarm, and Service Fabric) can run on-premises or in multiple public clouds.

Application integration. It can be challenging to build a complex application using a serverless architecture, due to the need to coordinate, deploy, and manage many small independent functions. One option in Azure is to use Azure Logic Apps to coordinate a set of Azure Functions. For an example of this approach, see Create a function that integrates with Azure Logic Apps.

Cost. With an orchestrator, you pay for the VMs that are running in the cluster. With a serverless application, you pay only for the actual compute resources consumed. In both cases, you need to factor in the cost of any additional services, such as storage, databases, and messaging services.

Scalability. Azure Functions scales automatically to meet demand, based on the number of incoming events. With an orchestrator, you can scale out by increasing the number of service instances running in the cluster. You can also scale by adding additional VMs to the cluster.

Our reference implementation primarily uses Kubernetes, but we did use Azure Functions for one service, namely the Delivery History service. Azure Functions was a good fit for this particular service, because it's an event-driven workload. By using an Event Hubs trigger to invoke the function, the service needed a minimal amount of code. Also, the Delivery History service is not part of the main workflow, so running it outside of the Kubernetes cluster doesn't affect the end-to-end latency of user-initiated operations.

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