Azure Availability Zones and Availability Sets are both designed to enhance the reliability and uptime of Azure Virtual Machines.
Availability Zones are physically separate datacenters within an Azure region, offering fault isolation, replication across zones, logical placement flexibility, high availability, and low latency.
Availability Sets distribute VMs across fault domains and update domains within a single datacenter, providing fault tolerance, planned maintenance event protection, VM distribution, and a 99.95% uptime SLA.
Choose Availability Zones for mission-critical applications, regulatory or compliance requirements, and low-latency cross-zone needs. Choose Availability Sets for single-region high-availability applications, cost-sensitive deployments, and single-datacenter resilience.