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Azure VM Stopped vs Stopped (Deallocated)

 VM Stopped vs Stopped (Deallocated):

Stopped: 

In this state, Shutting down the VM through OS will still costs us for compute hours. Since the assigned resources are still there with the VM.

Stopped (Deallocated):

In this state, the instance is stopped through the management portal. This option is available at the bottom on the management portal. If you shut down the VM from here, it goes to the stopped (deallocated) state. Stopped (Deallocated) instance doesn’t cost for VM compute hours. It only cost for the VHD storage for same VM. We not only stop the VM’s OS, we also free up the hardware and network resources Azure previously provisioned for it – that’s the deallocation part. You will also release the internal dynamic IP (DIP) address, as well as the public virtual IP (VIP) address, unless you configured static addresses for the VM. When you restart the VM, it will then pick up a new public VIP (if it is not joining a cloud service that already has one) as well as a new DIP. 

The VM’s OS and data disks remain intact in Azure storage and can be used to restart the VM later. However, the temporary (scratch) disk associated with the VM is released and any data on that disk could be lost.

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