Azure arc assessment fails for on-prem vm

Hello Reyes, Lannie, We understand that you're experiencing some issues when trying to run an assessment on your Azure Arc-enabled SQL Server. 

Ensure that all prerequisites for deploying Azure Arc resources,

Configure best practices assessment - SQL Server enabled by Azure Arc | Microsoft Learn

1. You need an Azure subscription with a resource group where you have the Owner or Contributor role.
2. The VM must have the Azure Extension for SQL Server installed and onboarded to Arc. This is separate from the IaaS VM agent. Without it, the assessment fails immediately.

• If the server hosts a single SQL Server instance, make sure that the version of Azure Extension for SQL Server (WindowsAgent.SqlServer) is 1.1.2202.47 or later.
• If the server hosts multiple instances of SQL Server, make sure that the version of Azure Extension for SQL Server (WindowsAgent.SqlServer) is later than 1.1.2231.59. To check the version of Azure Extension for SQL Server and update to the latest, review Upgrade extensions.

1. Allowing outbound HTTPS traffic to Azure endpoints (including *.azure.com and *.database.windows.net) is required for Arc agents and migration services.

Here are the few steps you need to verify:

• In the Azure portal, go to the Arc SQL Server resource > Extensions. Verify the SQL Server extension is installed and healthy.
• Verify SQL IaaS Agent Extension, Run the below command to confirm

    Get-AzVMExtension -ResourceGroupName "<RG>" -VMName "<VMName>" -Name "SqlIaasExtension"
  

• Confirm Arc Registration:

    az provider register --namespace Microsoft.AzureArcData
  

• Confirm that the Microsoft.DataMigration resource provider is registered in your subscription:

    az provider register --namespace Microsoft.DataMigration
  

• Validate Connectivity Allow outbound HTTPS to *.azure.com and *.database.windows.net.
• On the VM, look at the AzureConnectedMachineAgent logs (C:\ProgramData\AzureConnectedMachineAgent\Log). Errors here can reveal connectivity or credential issues.

If you've tried these steps and are still encountering issues, it would be helpful to know:

• Are there any specific error messages displayed when the assessment fails?
• Can you confirm that the VM is online and properly configured?
• What roles do you have assigned for your Azure subscription and resource group?

You can refer the below user reference documents :

Troubleshoot best practices assessment - SQL Server enabled by Azure Arc | Microsoft Learn

Common issues in Azure Migrate assessments - Azure Migrate | Microsoft Learn

Onboard on-premises servers in VMware virtual environment to Azure Arc - Azure Migrate | Microsoft Learn

Hope this helps! if you still encounter issue, please do let us know. thanks.