AI, AI-900, Artificial Intelligence (AI), Large Language Models (LLMs), Microsoft Certification

Describe Features and Capabilities of Azure OpenAI Service (AI-900 Exam Prep)

Overview

The Azure OpenAI Service provides access to powerful OpenAI large language models (LLMs)—such as GPT models—directly within the Microsoft Azure cloud environment. It enables organizations to build generative AI applications while benefiting from Azure’s security, compliance, governance, and enterprise integration capabilities.

For the AI-900 exam, Azure OpenAI is positioned as Microsoft’s primary service for generative AI workloads, especially those involving text, code, and conversational AI.

What Is Azure OpenAI Service?

Azure OpenAI Service allows developers to deploy, customize, and consume OpenAI models using Azure-native tooling, APIs, and security controls.

Key characteristics:

  • Hosted and managed by Microsoft Azure
  • Provides enterprise-grade security and compliance
  • Uses REST APIs and SDKs
  • Integrates seamlessly with other Azure services

👉 On the exam, Azure OpenAI is the correct answer when a scenario describes generative AI powered by large language models.

Core Capabilities of Azure OpenAI Service

1. Access to Large Language Models (LLMs)

Azure OpenAI provides access to advanced models such as:

  • GPT models for text generation and understanding
  • Chat models for conversational AI
  • Embedding models for semantic search and retrieval
  • Code-focused models for programming assistance

These models can:

  • Generate human-like text
  • Answer questions
  • Summarize content
  • Write code
  • Explain concepts
  • Generate creative content

2. Text and Content Generation

Azure OpenAI can generate:

  • Articles, emails, and reports
  • Chatbot responses
  • Marketing copy
  • Knowledge base answers
  • Product descriptions

Exam tip:
If the question mentions writing, summarizing, or generating text, Azure OpenAI is likely the answer.

3. Conversational AI (Chatbots)

Azure OpenAI supports natural, multi-turn conversations, making it ideal for:

  • Customer support chatbots
  • Virtual assistants
  • Internal helpdesk bots
  • AI copilots

These chatbots:

  • Maintain conversation context
  • Generate natural responses
  • Can be grounded in enterprise data

4. Code Generation and Assistance

Azure OpenAI can:

  • Generate code snippets
  • Explain existing code
  • Translate code between languages
  • Assist with debugging

This makes it valuable for developer productivity tools and AI-assisted coding scenarios.

5. Embeddings and Semantic Search

Azure OpenAI can create vector embeddings that represent the meaning of text.

Use cases include:

  • Semantic search
  • Document similarity
  • Recommendation systems
  • Retrieval-augmented generation (RAG)

Exam tip:
If the scenario mentions searching based on meaning rather than keywords, think embeddings + Azure OpenAI.

6. Enterprise Security and Compliance

One of the most important exam points:

Azure OpenAI provides:

  • Data isolation
  • No training on customer data
  • Azure Active Directory integration
  • Role-Based Access Control (RBAC)
  • Compliance with Microsoft standards

This makes it suitable for regulated industries.

7. Integration with Azure Services

Azure OpenAI integrates with:

  • Azure AI Foundry
  • Azure AI Search
  • Azure Machine Learning
  • Azure App Service
  • Azure Functions
  • Azure Logic Apps

This allows organizations to build end-to-end generative AI solutions within Azure.

Common Use Cases Tested on AI-900

You should associate Azure OpenAI with:

  • Chatbots and conversational agents
  • Text generation and summarization
  • AI copilots
  • Semantic search
  • Code generation
  • Enterprise generative AI solutions

Azure OpenAI vs Other Azure AI Services (Exam Perspective)

ServicePrimary Focus
Azure OpenAIGenerative AI using large language models
Azure AI LanguageTraditional NLP (sentiment, entities, key phrases)
Azure AI VisionImage analysis and OCR
Azure AI SpeechSpeech-to-text and text-to-speech
Azure AI FoundryEnd-to-end generative AI app lifecycle

Key Exam Takeaways

For AI-900, remember:

  • Azure OpenAI = Generative AI
  • Best for text, chat, code, and embeddings
  • Enterprise-ready with security and compliance
  • Uses pre-trained OpenAI models
  • Integrates with the broader Azure ecosystem

One-Line Exam Rule

If the question describes generating new content using large language models in Azure, the answer is likely related to Azure OpenAI Service.

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