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Azure OpenAI Service

Enterprise-grade access to OpenAI models (GPT-4o, GPT-4, o1, DALL-E, Whisper) with Azure security, compliance, and regional data residency.

Why Azure OpenAI?

Enterprise Security

Private endpoints, VNet integration, Azure AD authentication

Data Residency

Choose deployment region. Data stays in your geography.

Compliance

SOC 2, HIPAA, GDPR, ISO 27001 certifications

Same API

OpenAI-compatible API. Minimal code changes required.

Available Models (2024-2025)

Model Context Best For
GPT-4o 128K Multimodal (text + vision), fastest GPT-4
GPT-4o-mini 128K Cost-effective, high volume
o1 200K Advanced reasoning, math, coding
o1-mini 128K Fast reasoning, code
GPT-4 Turbo 128K Complex tasks, JSON mode
GPT-3.5 Turbo 16K Simple tasks, low cost
DALL-E 3 - Image generation
Whisper - Speech-to-text
text-embedding-3-large - Embeddings (3072 dim)

Setup Steps

1

Create Azure OpenAI Resource

Azure Portal → Create Resource → "Azure OpenAI" → Select region

2

Deploy a Model

Azure AI Studio → Deployments → Deploy Model → Choose GPT-4o → Set deployment name

3

Get Credentials

Keys and Endpoint → Copy API Key and Endpoint URL

Python SDK

pip install openai

Chat Completion

from openai import AzureOpenAI

client = AzureOpenAI(
    api_key="YOUR_API_KEY",
    api_version="2024-10-21",
    azure_endpoint="https://YOUR_RESOURCE.openai.azure.com"
)

response = client.chat.completions.create(
    model="gpt-4o",  # Your deployment name
    messages=[
        {"role": "system", "content": "You are a helpful assistant."},
        {"role": "user", "content": "What is the capital of France?"}
    ],
    temperature=0.7,
    max_tokens=1000
)
print(response.choices[0].message.content)

Streaming Response

stream = client.chat.completions.create(
    model="gpt-4o",
    messages=[{"role": "user", "content": "Write a story"}],
    stream=True
)

for chunk in stream:
    if chunk.choices[0].delta.content:
        print(chunk.choices[0].delta.content, end="", flush=True)

Vision (GPT-4o with Images)

response = client.chat.completions.create(
    model="gpt-4o",
    messages=[{
        "role": "user",
        "content": [
            {"type": "text", "text": "What's in this image?"},
            {"type": "image_url", "image_url": {
                "url": "https://example.com/image.jpg"
            }}
        ]
    }]
)

Embeddings

response = client.embeddings.create(
    model="text-embedding-3-large",  # Your embedding deployment
    input="The quick brown fox jumps over the lazy dog"
)
embedding = response.data[0].embedding  # 3072-dim vector

LangChain Integration

from langchain_openai import AzureChatOpenAI, AzureOpenAIEmbeddings

# Chat model
llm = AzureChatOpenAI(
    azure_deployment="gpt-4o",
    api_version="2024-10-21",
    temperature=0.7
)

# Embeddings
embeddings = AzureOpenAIEmbeddings(
    azure_deployment="text-embedding-3-large",
    api_version="2024-10-21"
)

# Usage
response = llm.invoke("Explain RAG in simple terms")
print(response.content)

Pricing Overview

Model Input (1M tokens) Output (1M tokens)
GPT-4o $2.50 $10.00
GPT-4o-mini $0.15 $0.60
o1 $15.00 $60.00
GPT-3.5 Turbo $0.50 $1.50

*Prices approximate. Check Azure pricing page for current rates.

Azure OpenAI vs OpenAI Direct

Aspect Azure OpenAI OpenAI Direct
Data Residency You choose region US only
VNet Support Yes No
Enterprise SSO Azure AD Limited
Model Availability Delayed by weeks Immediate
Billing Azure subscription Credit card
SLA Enterprise SLA Best effort

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