AI Vendor Directory · Foundation model APIs
Does Azure OpenAI Service train on your data?
No — does not train on your data by default. Vendor-stated default: no (all Azure OpenAI / Models sold by Azure usage). Microsoft's data-privacy page states prompts, completions, embeddings, and training data are NOT available to other customers or to OpenAI, NOT used by model providers to improve models, NOT used to train foundation models, and NOT used to improve Microsoft or third-party products without explicit permission; models are stateless and the service does not interact with OpenAI-operated services. Flagged prompts/completions may be stored geo-locally for abuse-monitoring human review; approved customers can turn that storage off (modified abuse monitoring — verifiable via ContentLogging=false on the resource). 'Global'/'DataZone' deployments change processing location only; data at rest stays in the customer geography.
By the Shieldra Compliance Team · Last updated 2026-07-29
What is Azure OpenAI Service (Microsoft Foundry Models sold by Azure)?
OpenAI models hosted entirely in Microsoft's Azure environment under Azure terms (now part of Microsoft Foundry). SMBs already on Azure use it to keep AI workloads inside their cloud tenancy and compliance boundary.
Key facts
- Vendor: Microsoft — https://azure.microsoft.com/en-us/products/ai-services/openai-service
- Trains on customer data by default: no (all Azure OpenAI / Models sold by Azure usage)
- Source for the training answer: https://learn.microsoft.com/en-us/legal/cognitive-services/openai/data-privacy
- Data residency: US; EU (EU Data Zone deployments); Global (customer-selected Azure geographies)
- Last verified: 2026-07-29
What certifications does Azure OpenAI Service hold?
- SOC 1/2/3 (Azure compliance program)
- ISO/IEC 27001 (Azure)
- HIPAA BAA available (Microsoft DPA/BAA)
- FedRAMP High P-ATO (US commercial regions)
Security, DPA, and subprocessor links
- Security / trust page: https://learn.microsoft.com/en-us/azure/compliance/
- Data processing agreement (DPA): https://aka.ms/DPA
What is your EU AI Act role when you build on Azure OpenAI Service?
Building your feature on Azure OpenAI typically makes you the provider of the downstream AI system under the EU AI Act with Article 50 transparency duties; Microsoft/OpenAI hold model-level GPAI obligations.
What to record in your AI registry
- Provider: Microsoft (Azure OpenAI)
- Model type: third party api
- Data typically flowing to the vendor: prompts, completions, embeddings, fine-tuning data, 'on your data' grounding sources
Sources
- https://learn.microsoft.com/en-us/legal/cognitive-services/openai/data-privacy
- https://learn.microsoft.com/en-us/azure/compliance/
- https://azure.microsoft.com/en-us/explore/trusted-cloud/compliance
Disclaimer
Curated from vendor-published pages on the date above. Vendor terms change - verify against the cited sources before relying on a profile for a procurement decision. Last verified 2026-07-29.
Frequently asked questions
Does Azure OpenAI Service train AI models on your data?
No — does not train on your data by default. Vendor-stated default: no (all Azure OpenAI / Models sold by Azure usage). Microsoft's data-privacy page states prompts, completions, embeddings, and training data are NOT available to other customers or to OpenAI, NOT used by model providers to improve models, NOT used to train foundation models, and NOT used to improve Microsoft or third-party products without explicit permission; models are stateless and the service does not interact with OpenAI-operated services. Flagged prompts/completions may be stored geo-locally for abuse-monitoring human review; approved customers can turn that storage off (modified abuse monitoring — verifiable via ContentLogging=false on the resource). 'Global'/'DataZone' deployments change processing location only; data at rest stays in the customer geography.
What certifications does Azure OpenAI Service hold?
Per the vendor's published pages as of 2026-07-29: SOC 1/2/3 (Azure compliance program); ISO/IEC 27001 (Azure); HIPAA BAA available (Microsoft DPA/BAA); FedRAMP High P-ATO (US commercial regions).
Where does Azure OpenAI Service store your data?
Vendor-listed data residency options as of 2026-07-29: US; EU (EU Data Zone deployments); Global (customer-selected Azure geographies).
What is your EU AI Act role when you build on Azure OpenAI Service?
Building your feature on Azure OpenAI typically makes you the provider of the downstream AI system under the EU AI Act with Article 50 transparency duties; Microsoft/OpenAI hold model-level GPAI obligations.
