Question 20 of 760
DP-203 Develop data processing Practice Question
You are designing a data processing solution for a real-time dashboard. The source data is streaming from IoT devices at a rate of 10,000 events per second. Each event is under 1 KB. You need to store the raw data in a staging area before processing, and you must minimize storage costs. Which storage solution should you use?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Azure Blob Storage
Azure Blob Storage is cost-effective for large volumes of streaming data that will be processed later. Azure Data Lake Storage Gen2 is built on Blob Storage but adds hierarchical namespace, which is not required for simple staging. Azure SQL Database and Azure Cosmos DB are more expensive and suited for transactional or real-time query workloads.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Azure Data Lake Storage Gen2
Why it's wrong here
Data Lake Storage Gen2 adds hierarchical namespace and ACLs, which are not needed for simple staging and may incur slight additional costs.
- ✓
Azure Blob Storage
Why this is correct
Blob Storage provides low-cost object storage for large volumes of streaming data, ideal for staging before processing.
- ✗
Azure SQL Database
Why it's wrong here
Azure SQL Database is a relational database meant for transactional queries, not cost-effective for high-volume staging.
- ✗
Azure Cosmos DB
Why it's wrong here
Cosmos DB is a NoSQL database optimized for low-latency access, but it is more expensive than Blob Storage for bulk staging.
Quick reference
Azure Blob Storage Tier Comparison
| Tier | Storage Cost | Retrieval Cost | Latency | Use Case |
|---|---|---|---|---|
| Hot | Highest | Lowest | Immediate | Active data, frequent reads |
| Cool | Lower | Higher | Immediate | Data accessed < once / month |
| Cold | Lower still | Higher | Immediate | Data accessed < once / quarter |
| Archive | Lowest | Highest + rehydration delay | Hours | Long-term compliance retention |
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Last reviewed: Jun 21, 2026
This DP-203 practice question is part of Courseiva's free Microsoft certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the DP-203 exam.
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