Microsoft Azure Architect Technologies (AZ-300) Practice Exam 2025 - Free AZ-300 Exam Questions and Study Guide

Scaling out involves adding more instances to handle increased demand, which typically does not require a single powerful instance. Instead, it focuses on distributing the load across multiple instances, thereby increasing the application's capacity effectively and efficiently. This method allows for horizontal scaling, which can lead to better load balancing and redundancy, as there are multiple smaller instances working together to fulfill requests.

The other statements highlight valid aspects of scaling strategies. Scaling out can indeed increase capacity significantly and may seem limitless, provided there is sufficient infrastructure to support the additional instances. Scaling up allows a more powerful single instance to utilize its maximum capabilities, taking advantage of better hardware resources to improve performance. Lastly, all scaling strategies do indeed have limits influenced by architectural decisions, resource management, and dependencies within the system.

Understanding these scaling methods is crucial for designing applications on cloud platforms like Azure, ensuring they can efficiently manage varying loads while maintaining performance and optimizing resource usage.