Integrating Power Platform with Azure API Management
Learn how to leverage Azure API Management to expose, protect, and orchestrate Dataverse APIs for backend and data integration scenarios.
What is Azure API Management
Azure API Management (APIM) is a managed cloud service that allows you to create, publish, and monitor APIs for internal or external applications. Within the Microsoft Power Platform ecosystem, this component plays a strategic role in isolating and protecting Dataverse or other integrated solution APIs.
APIM acts as a centralized gateway offering advanced features for authentication, authorization, caching, logging, and request throttling. It is ideal for scenarios where you want to selectively expose Dataverse Web API operations to partners or external systems without compromising the security of your Power Platform environment.
Architecture and Integration Scenarios
APIM can be implemented in two main configurations:
- API Management Only: the APIM instance acts as a security and isolation layer between Dataverse and external applications. In this case, only selected endpoints are published without data mapping or transformation logic.
- API Management with Additional Components: APIM works in combination with Azure Functions, Azure Web Apps, or API Apps to implement business logic, transformations, and more complex orchestrations.
This second option is recommended for enterprise or multi-system scenarios where data mapping, error management, and centralized monitoring are required.
Because this integration is synchronous, it is preferable to avoid asynchronous components such as Logic Apps. However, Logic Apps can still be used in backend pipelines for batch or long-running processes.
Step-by-Step Configuration
To create a direct integration between Dataverse and Azure API Management, follow these steps:
- Create an API Management instance in your Azure subscription.
- Register an application in Azure Active Directory to obtain the Application ID and Client Secret.
- Create an application user in Dataverse using the credentials from the previous step and assign the appropriate security roles.
- Configure an API in APIM, setting up OAuth 2.0 authentication and mapping the Dataverse endpoints to be exposed.
- Define security policies such as rate limiting, IP filtering, and JWT validation to protect published endpoints.
Once configured, the exposed API can be used to securely trigger Dataverse operations through APIM.
Key Benefits
- Isolation between internal Power Platform infrastructure and external clients.
- Advanced endpoint protection with OAuth 2.0 authentication and security policies.
- Centralized API traffic management and monitoring using Azure Monitor.
- Support for logging, caching, and API versioning.
- Direct integration with Azure Service Bus and Event Hubs for hybrid scenarios.
Frequently Asked Questions about Azure API Management and Power Platform
Can Azure API Management directly expose Dataverse APIs?
Yes. APIM can be configured to publish a subset of Dataverse APIs, such as CRUD operations on specific tables. Integration requires registering an app in Azure AD and configuring OAuth 2.0.
Is an Azure Synapse instance required to use APIM?
No. Azure API Management is independent of Azure Synapse. However, they can be combined for advanced analytics and orchestration use cases.
What is the difference between API Management and Logic Apps?
Logic Apps is designed for asynchronous flows and automation, while API Management acts as a synchronous gateway for secure and controlled API access.
How is API security managed?
APIM supports multiple security mechanisms, including OAuth 2.0 authentication, JWT validation, IP filtering, and rate limiting, ensuring endpoints are protected from unauthorized access or attacks.
Expand Your Azure Integration Strategy
Discover how Azure API Management, combined with Azure Functions and Service Bus, can enhance the security and efficiency of your Power Platform workflows.
 
          