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Function Apps are not supported in Free and Shared plans. Please choose a different plan

When you use terraform and functions apps in azure you may end up with the below issue.

Creating Linux Function App: (Site Name "multicloud-serviceplan" / Resource
│ Group "multicloudrg"): web.AppsClient#CreateOrUpdate: Failure sending
│ request: StatusCode=400 -- Original Error: Code="BadRequest" Message="You
│ tried creating a function app in the 'Free' SKU. Function Apps are not
│ supported in Free and Shared plans. Please choose a different plan."
│ Details=[{"Message":"You tried creating a function app in the 'Free' SKU.
│ Function Apps are not supported in Free and Shared plans. Please choose a
│ different
│ plan.

The issue indicates that a Function app cannot be created using the Free tier F1 of the service plan.

In order to fix the issue you must select one of the additional plans Consumption, Premium or Dedicated.

In Consumption plan hosting, each function app typically runs in its own plan. In the Azure portal or in code, you may also see the Consumption plan referred to as Dynamic or Y1.

https://learn.microsoft.com/en-us/azure/azure-functions/consumption-plan

The details of each plans are described below.

https://learn.microsoft.com/en-us/azure/azure-functions/functions-scale?WT.mc_id=Portal-WebsitesExtension

The terraform issue will be resolved when you select Y1 instead of F1 which is the free tier.