The demand for Azure OpenAI has skyrocketed due to its enterprise-grade security, compliance features, and seamless integration with existing Microsoft ecosystems. This comprehensive tutorial will provide you with everything needed to create and deploy Azure OpenAI services successfully.
Create Azure Open AI
Before diving into the creation process, let me explain why Azure OpenAI has become the preferred choice for many enterprises seeking to integrate AI.
Azure OpenAI Service combines OpenAI’s cutting-edge models (GPT-4, GPT-3.5-turbo, DALL-E, and Codex) with Microsoft Azure’s enterprise-grade infrastructure. This combination provides the advanced AI capabilities your business needs while maintaining the security, compliance, and reliability standards.
Key Benefits
Enterprise Security and Compliance:
- SOC 2 Type II compliance
- HIPAA eligibility for healthcare organizations
- FedRAMP authorization for government contractors
- Data residency within US borders
- Advanced threat protection and monitoring
Business Advantages:
- Integration with existing Microsoft 365 and Azure services
- Enterprise-grade SLA with 99.9% uptime guarantee
- Flexible pricing models for various business sizes
- 24/7 Microsoft support for critical business operations
- Advanced analytics and usage monitoring
Prerequisites
Here are the essential requirements you’ll need before starting:
Account and Subscription Requirements
| Requirement | Details | Typical Processing Time |
|---|---|---|
| Azure Subscription | Active subscription with billing enabled | Immediate |
| Access Request | Azure OpenAI access approval | 1-7 business days |
| Permissions | Owner or Contributor role | Immediate |
Technical Prerequisites:
- Valid Azure subscription (Pay-as-you-go, Enterprise Agreement, or CSP)
- Subscription must be in good standing with no billing issues
- Administrator access to submit access requests
- Valid business email address (no personal Gmail/Yahoo accounts)
Method 1: Using Azure Portal
This is the most user-friendly approach I recommend for business users and those new to Azure services.
- Log in to the Azure Portal (
portal.azure.com) - Search for “Azure OpenAI”.

3. Click “Create” to start the configuration process.

Configuration Settings:
On the Basics tab, fill in the details below.
Basics Tab:
- Subscription: Select your approved Azure subscription
- Resource Group: Click on the create new link to create a new resource group.
- Region: East US 2 (recommended for the US East Coast)
- Name: Unique name (e.g., mycompany-openai-prod-2025)
- Pricing Tier: Standard S0 (most common for production)
Click on the Next button to navigate to the Networking tab.

Networking Tab:
- Network access: Public endpoint (start here, restrict later)
- Virtual network: Configure if needed for enterprise security
Click on the next button.
