Azure SQL Database 'Key' Authentication Not Supported
Exhibit
Refer to the exhibit.
```json
{
"dataSources": [
{
"name": "SalesDB",
"connectionDetails": {
"server": "sqlsrv-prod.database.windows.net",
"database": "SalesDB",
"authenticationKind": "Key",
"options": {
"CommandTimeout": 600,
"CreateNavigationProperties": false
}
}
}
]
}
```You are reviewing a Power BI data source configuration in the data source settings. The exhibit shows the JSON representation of a data source. Which issue might arise from this configuration?
Quick Answer
The correct answer is that the authentication kind 'Key' is not supported for Azure SQL Database, causing a connection failure in Power BI. This is because Azure SQL Database relies on authentication methods like SQL Server authentication (username/password), Windows authentication, or Azure Active Directory (OAuth2 or Service Principal), whereas the 'Key' authentication kind is designed for Azure Storage accounts or Cosmos DB, not for relational databases. On the Microsoft Power BI Data Analyst PL-300 exam, this scenario often appears in data source settings or gateway configuration questions, testing your understanding of supported authentication types for different Azure services. A common trap is confusing Azure SQL Database with Azure Storage, where 'Key' authentication is valid. Remember the memory tip: "SQL needs a login, not a key"—if you see 'Key' in an Azure SQL Database connection, expect failure.
⚠ Common exam trap
Test-takers frequently assume 'Key' authentication is valid for any Azure service, but Microsoft restricts authentication methods per data source type, and Azure SQL Database explicitly does not support key-based authentication.
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
✓
The authentication kind 'Key' is not supported for Azure SQL Database, causing connection failure.
Azure SQL Database does not support the 'Key' authentication kind in Power BI data source settings. Azure SQL Database requires either Windows authentication, database credentials (Username/Password), or Azure AD-based authentication (such as OAuth2 or Service Principal). The 'Key' authentication kind is typically used for Azure Storage or Cosmos DB, not for Azure SQL Database, so this configuration will cause a connection failure.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
The server name contains a hyphen, which is invalid in SQL Server connection strings.
Why it's wrong here
Hyphens are allowed in server names; the name is valid.
- ✗
The CommandTimeout value is too low and may cause queries to time out.
Why it's wrong here
600 seconds is 10 minutes, which is reasonable; the default is 600 as well.
- ✗
The option 'CreateNavigationProperties' is set to false, which may prevent relationships from being created.
Why it's wrong here
This option only affects the navigation properties in the data model, not relationships defined in Power BI.
- ✓
The authentication kind 'Key' is not supported for Azure SQL Database, causing connection failure.
Why this is correct
'Key' is not a valid authentication method for SQL Server; it should be 'UsernamePassword' or 'ServicePrincipal'.
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Same concept, more angles
1 more way this is tested on PL-300
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. You are reviewing a Power BI dataset configuration in the service. The JSON shows a data source for an Azure SQL Database. Which statement about the configuration is correct?
medium- A.The dataset uses key-based authentication and does not use single sign-on.
- B.The dataset uses single sign-on with Azure AD.
- C.The dataset is configured to use a cloud gateway for direct query.
- ✓ D.The dataset uses cloud-only data sources and does not require a gateway.
Why D: Azure SQL Database is a cloud-native data source in Power BI, and cloud data sources do not require a gateway, whether using DirectQuery or Import. The configuration shown in the JSON is for an Azure SQL Database, which is inherently cloud-only, so no gateway is needed. Option A is incorrect because key-based authentication is not supported for Azure SQL Database; using 'Key' credential type would cause a connection failure. Option B is incorrect because the JSON does not indicate single sign-on (no 'SingleSignOn' property set to true). Option C is incorrect because a cloud gateway is not required for Azure SQL Database; it is only needed for on-premises or virtual-network sources.
JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This PL-300 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 PL-300 exam.