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Once creating Azure VM there are standard storage option HDD and premium storage SSD. he operating system uses data disk are implemented as blob storage that correspond to Storage account. So, is it required to create separate storage account? While create storage account. Is it required account has to be linked with both web APP and VM or any one of them.

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There is no need to create separate storage account for Virtual Machine.

Storage account is only required if you want to create disk that uses blob storage as the source option.

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