How to Set Up Confidential Computing Environments in Azure

 

A four-panel comic illustrating the setup of confidential computing in Azure. Panel 1: A cloud engineer says, “We need to secure data during processing too!” Panel 2: They provision a DCsv3 Azure VM with confidential computing enabled. Panel 3: The screen shows attestation results verifying enclave integrity. Panel 4: The engineer smiles, saying, “Now even we can’t peek at the data!”

How to Set Up Confidential Computing Environments in Azure

As enterprises migrate sensitive workloads to the cloud, protecting data not just at rest or in transit but also during computation is becoming a top priority.

That’s where confidential computing comes in — a paradigm that encrypts data in use using trusted execution environments (TEEs).

Microsoft Azure leads this space with a suite of confidential computing services that allow you to run secure enclaves, isolate code, and ensure zero-trust across your compute layer.

Table of Contents

What Is Confidential Computing?

Confidential computing is a security model that encrypts data while it is being processed, using hardware-based trusted execution environments (TEEs) like Intel SGX or AMD SEV-SNP.

These TEEs prevent unauthorized access from system administrators, hypervisors, or even cloud providers.

This ensures complete data isolation in multi-tenant cloud environments.

Why Use Azure for Confidential Computing?

Azure offers a mature confidential computing platform with native support for enclave-aware VMs, Kubernetes pods, and integration with key services like Azure Key Vault.

Benefits include:

• Broad hardware support (Intel SGX, AMD EPYC SEV)

• Azure Attestation to verify integrity of enclaves

• Easy provisioning via Azure CLI or portal

• Compatible with existing DevOps workflows

How to Set Up a TEE-Based VM in Azure

1. Go to the Azure Portal and create a new Virtual Machine.

2. Choose a confidential compute–enabled VM size (e.g., DCsv3-series for Intel SGX).

3. Under the “Security” tab, enable “Trusted Launch” or “Confidential Computing”.

4. Complete provisioning and install your enclave-enabled application.

5. Use Azure Attestation to remotely verify the enclave integrity before deployment.

Azure Services That Support Confidential Computing

• Azure Confidential VMs: Run workloads in hardware-isolated memory regions.

• Azure Kubernetes Service (AKS): Deploy confidential containers with containerd and Kata Containers.

• Azure Attestation: Provides evidence of enclave code identity and integrity.

• Azure Key Vault Managed HSM: Store encryption keys within FIPS 140-2 Level 3 HSMs for enclave use.

• Microsoft Open Enclave SDK: Build and debug enclave applications across Intel and ARM platforms.

Use Cases and Best Practices

• Secure multi-party analytics across untrusted partners

• Confidential AI model inference and training

• Encrypted database processing (e.g., SQL inside TEEs)

• Blockchain transaction validation without leaking data

• Use remote attestation before connecting any external data stream to the enclave

• Regularly patch enclave OS and monitor attestation logs for drift detection

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Important Keywords: Azure confidential computing, trusted execution environment, TEE enclave setup, secure cloud processing, confidential VM deployment