In This Article
Introduction
Microsoft Azure appeals to enterprises already in the Microsoft ecosystem. Azure VMs and AKS run OpenClaw reliably. OpenAI's Azure-hosted models offer enterprise SLAs and data residency. Here's what we're covering: Azure deployment: step-by-step VM setup, AKS configuration, Azure OpenAI integration, and cost optimization.
Whether you're a Microsoft shop with existing Azure footprint or need Azure's sovereign cloud for regulated industries, you'll find actionable steps. We'll cover Key Vault for secrets, managed identities, and the patterns that make OpenClaw production-ready on Azure.
Azure VM: Step-by-Step
Deploy a B2s or larger VM. Install Docker, run OpenClaw. Use managed disks for persistence. Azure Key Vault for API keys. Consider Azure Spot VMs for cost savings.
Step 1: Create VM. az vm create --resource-group openclaw-rg --name openclaw-vm --image Ubuntu2204 --size Standard_B2s --admin-username azureuser --ssh-key-values @~/.ssh/id_rsa.pub. Or use Portal.
Step 2: VM sizing. B2s (2 vCPU, 4GB): ~$30/month. B2ms (2 vCPU, 8GB): ~$60/month. For Ollama: B2ms or larger. Cloud LLM only: B2s suffices.
Step 3: Managed disk. 30GB Premium SSD. Attached to VM. Persists across stop/start. Backup with Azure Backup.
Step 4: Key Vault. Create Key Vault. Store OPENAI_API_KEY as secret. VM with managed identity can read. Or use Azure CLI to pull at runtime.
Step 5: NSG (firewall). Allow 22 (SSH) from your IP. Allow 3000 if web UI. Allow outbound 443. Restrict tightly.
Step 6: Deploy. SSH in. Install Docker. docker run -v ./config:/app/config -e OPENAI_API_KEY=$(az keyvault secret show --vault-name myvault --name openai-key --query value -o tsv) openclaw/openclaw.
Spot VMs. 60–80% cheaper. Can be evicted. OpenClaw persists to disk. Good for dev. Not for production-critical.
AKS (Kubernetes)
AKS runs OpenClaw as containerized workloads. Scale across nodes. Use Azure Key Vault Provider for secrets. Azure Monitor for logging. Suitable for multi-agent deployments.
Deployment. Standard K8s Deployment. Use Azure Key Vault Provider for CSI driver: mount secrets as volumes. Pod reads OPENAI_API_KEY from /mnt/secrets/openai-key. No plaintext in manifests.
Managed identity. AKS cluster or pod identity. Access Key Vault, Storage, etc. No keys in config. Best practice for production.
Azure Monitor. Container Insights for logs and metrics. Query with KQL. Set up alerts for errors, restarts.
OpenAI on Azure
OpenAI offers GPT models on Azure with enterprise data handling. Your data stays in your Azure tenant. OpenClaw supports Azure OpenAI as a provider. Ideal for enterprises requiring Microsoft compliance.
Benefits. Data in your tenant. Microsoft SLAs. No data to OpenAI Inc. Enterprise support. SOC 2, HIPAA BAA available.
Setup. Create Azure OpenAI resource. Deploy model (gpt-4o, gpt-4o-mini). Get endpoint and key. Configure OpenClaw: provider: azure-openai, endpoint: https://your-resource.openai.azure.com, apiKey: from Key Vault, deployment: gpt-4o.
Pricing. Similar to OpenAI direct. Pay per token. Check Azure pricing. Often competitive with enterprise add-ons.
Region Selection
East US, West Europe, Southeast Asia, Australia East. Azure offers sovereign clouds for regulated industries (Azure Germany, Azure Government, Azure China).
Sovereign. Azure Germany (sovereign), Azure Government (US), Azure China (21Vianet). Use when required by regulation. Different portal, compliance.
Cost Optimization
Reserved instances: 1-year, 3-year. Spot for dev. Right-size. B2s is often sufficient. Monitor API costs.
Real numbers. B2s: ~$30/month. 30GB disk: ~$5/month. Total infra: ~$35/month. API: $30–100/month. Total: $65–135/month.
Implementation Checklist
- □ Choose region. Sovereign if required
- □ Create VM or AKS cluster
- □ Configure NSG. Minimal access
- □ Store secrets in Key Vault
- □ Deploy with Docker/K8s. Mount config
- □ Set up Azure Monitor
- □ Consider Azure OpenAI for data residency
Common Pitfalls to Avoid
Pitfall 1: Keys in config. Never. Use Key Vault. Managed identity. Secrets in plaintext get committed, exposed.
Pitfall 2: Wrong region. Default may be East US. If you need EU, use West Europe. Check compliance.
Pitfall 3: No persistence in AKS. Use PersistentVolume or Azure Files. Ephemeral storage is lost.
Frequently Asked Questions
Does OpenClaw support Azure OpenAI? Yes. Azure OpenAI is a supported provider. Configure endpoint, key, deployment name. Check OpenClaw docs for exact config format.
Can I use Azure Container Apps? Container Apps supports long-running containers. Possible. Less common than VM or AKS. Evaluate for your use case.
What about Azure Government? Yes. Same patterns. Different endpoints. Requires government account. Use when mandated.
How do I backup config on Azure VM? Azure Backup for disk. Or: az storage blob upload-batch for config sync to Blob Storage.
Can I use Entra ID (Azure AD) for OpenClaw? For web UI auth, yes. Put OpenClaw behind reverse proxy with Entra ID auth. Agent itself doesn't need Entra — it uses API keys for LLM.
Wrapping Up
Azure is a strong choice for Microsoft-centric enterprises. VM for simplicity, AKS for scale, Azure OpenAI for integrated compliance. OpenClaw Consult helps design Azure deployments — we've deployed for enterprises with Microsoft-first infrastructure.