The virtual machine is in a failed state

Hello @shijin zen

Thank you for contacting us about the VM issue.

• Is the VM running Linux or Windows?
• Was the source VM generalized before capturing it (using Sysprep for Windows or waagent -deprovision+user for Linux)?
• Is the Azure VM Agent installed and functioning properly?
• Are there any custom extensions that might prevent provisioning?
• Is Boot Diagnostics enabled and linked to a valid storage account?
• Are you deploying several VMs at once, and is the image stored in Shared Image Gallery or as a managed image?
• Are you seeing any error messages?

Thanks,
Manish Deshpande

Hello @shijin zen

Thanks for reaching out to Q/A regarding OS Provisioning issue.

Why do provisioning failures occur?

Commonly, provisioning failures can happen for multiple reasons, such as:

Missing provisioning /incorrectly configured agent

• You will need to ensure an agent is present and is working correctly, you should be using cloud-init or if your image will not support this, you can review these steps.
• Incorrect image configuration
• We have guidance on how images should be set up with cloud-init and other Azure image requirements, please check this.

To resolve the issue. Could you please follow below steps:

1.Ensure the Image is Generalized Correctly:

Check the generalization process: Windows VMs: Run Sysprep inside the VM before capture:

C:\Windows\System32\Sysprep\Sysprep.exe /generalize /shutdown /oobe

Linux VMs: Run the following command, and then shut down the VM:

sudo waagent -deprovision+user -force

After generalization and shutdown, you can create a managed image from the VM using the Azure portal or CLI.

Reference: https://learn.microsoft.com/en-us/azure/virtual-machines/capture-image-resource

https://learn.microsoft.com/en-us/azure/virtual-machines/linux/create-upload-generic

2.Ensure the Azure VM Agent is installed and updated before generalization, as provisioning depends on it.

3.Delete and Recreate the VM

• After confirming the image is correctly generalized:
  • Delete the failed VM.
  • Recreate the VM using the corrected image.
• If the VM is stuck in a failed state:
  • Try Redeploy from the Azure portal.
  • If redeploy doesn’t work, delete and recreate the VM using a properly generalized image.

This document talks in detail about the OS Provisioning errors and troubleshooting: https://learn.microsoft.com/en-us/troubleshoot/azure/virtual-machines/troubleshoot-deployment-new-vm-linux#provisioning-troubleshooting

This document has the error causes mentioned.

Recovery options:

If you have a snapshot, backup, or OS disk before generalization, → create a new VM from that disk.

If the VM was generalized and deleted without backup → unfortunately it is not possible to recover; you'll need to redeploy a new VM.

Reference: https://learn.microsoft.com/pt-br/azure/virtual-machines/generalize

Similar threads for reference:

• https://learn.microsoft.com/en-us/answers/questions/989694/error-code-osprovisioningtimedout
• https://learn.microsoft.com/en-us/answers/questions/26865/unable-to-create-vm-from-an-image
• https://learn.microsoft.com/en-us/answers/questions/989694/error-code-osprovisioningtimedout

Hope this helps! Please let me know if you have any queries. If issue still persists, could you please check the private message and provide necessary details.