When it comes to the storage limit associated with virtual machines, each data disk has a maximum capacity of 1 TB. The amount of data disks one can use is determined by the virtual machine's size. Azure Managed Disks is a new and highly recommended disk storage option for Azure Virtual Machines for long-term data storage. Each Virtual Machine can have many Managed Disks. Premium and Standard Managed Disks are two types of long-term storage options offered by Managed Disks. Also, storage for the OS disk and any data disks can be provided via Azure storage accounts. Each disk is a page blob that is stored in a .vhd file format.