What is the difference between an Azure tenant and Azure subscription?

Question

I am struggling to distinguish how an Azure Subscription and an Azure tenant are different? I have tried figuring it out using examples but each time I come to the conclusion that they are the same thing in a way? If a tenant is a dedicated instance of the Azure AD service that an organization receives and owns when it signs up for a Microsoft cloud service, then is that not what a subscription is too?

Answer 1

Azure tenant is a directory, subscription is an object that represents a "folder" that you can put resources in. Subscriptions are tied to tenants. so 1 tenant can have many subscriptions, but not vice versa.