How to activate an SFTP service in Azure based on Container

A communication protocol that is commonly used for transferring files between different business realities is certainly SFTP (SSH File Transfer Protocol or Secure File Transfer Protocol). To date, Azure does not have a fully managed platform service that allows you to provide access over the SFTP protocol. Activating a virtual machine in Azure that hosts the SFTP service incurs activation costs and a significant management effort. This article provides a solution that you can use to deliver the SFTP service to Azure in an Azure environment., Azure Container Instances (ACI) and Azure File Shares.

The proposed solution is based on the following components::

  • Azure Container Instances (ACI), It is the easiest and quickest way in Azure to run containers on-demand in a managed serverless environment. All this is made possible without having to activate specific virtual machines and the necessary maintenance is almost negligible. The solution Azure Container Instances is eligible in scenarios that require isolated containers, without the need to adopt an orchestration system. The service Azure Container Instances costs depend on the number of vCPUs and memory GBs used by the container group.. For more details on costs please visit the Microsoft official page.
  • Azure File, the managed Azure service that allows you to access file shares in the cloud through the Server Message Block (SMB).

Figure 1 – Azure architecture

You will then be activated Linux-based docker container to deliver the SFTP service through Azure Container Instance (ACI). In order to have a persistent storage access from the container it will be made the mount of an Azure Files Shares. Files transferred via the SFTP service will therefore also be accessible via SMB protocol, managing the appropriate permissions, also stopping the execution of the container created.

To deploy this solution, you can use the referenced templates as a starting point in this Microsoft's document. These are two templates, where the first also involves creating a storage account, but of type V1.

Figure 2 – Deployment via custom template

In order to get a proper integration with existing Azure environments and to ensure a filtered access to the SFTP service you must deploy instances of containers inside an Azure virtual network. To do this, you need to enable a feature in preview, and as such has some limitations, between which does not support peering of virtual networks. In this scenario, if the SFTP service is required to be published to the internet, this will necessarily have to take place via Azure Firewall, as it is not supported directly assigning Public IP to Azure Container configured in Virtual Network. In order to improve the security postures of your Azure environment, it is also recommended that:

  • Take a micro-segmentation and granular perimeter definition approach in Azure network architecture. To do this, addition to the adoption of Azure Firewall, you need to plan for the use of the Network Security Groups (NSGs), the tool used to segregate network traffic internally with the Azure Virtual Network. Through deny and permit rules can be filtered communications between different subnets where different application workloads are attested.
  • Predicting the use of Virtual Network (VNet) service endpoints to increase the security level of the Storage Account, preventing unauthorized access. The vNet Service Endpoints allow you to isolate the Azure services, allowing access to them only by one or more subnets defined in the Virtual Network. This feature also ensures that all traffic generated from the VNet towards the Azure services will always remain within the Azure backbone network.

To complete this solution, you must also have a data protection strategy that is placed on the storage account through the SFTP service. Content transferred via SFTP service to Azure file shares can be backed up using the Azure Backup. Again, this is at the time of a feature in preview, so you can have a protection with a daily frequency.

To date, as an alternative to this solution, you can adopt third-party solutions available in the Azure marketplace to deliver the SFTP service. These are significantly more expensive solutions that typically require more effort to deploy and manage them.


Waiting for Microsoft to release a fully managed SFTP service in Azure, this solution enables this service quickly and easily, with reduced costs and without having to maintain and manage virtual machines. The adoption of this solution need integration with other Azure services platform to implement it effectively, without neglecting the safety aspect. At the time you may need to use services in preview, but not officially supported in a production environment.

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