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<@UE1Q8H405> I believe this is a race in Azure. Let me dig up the bug.

You can work around by running `pulumi up` a second time though.

<https://github.com/terraform-providers/terraform-provider-azuread/issues/4>

cc <@UGSM7BKJ4> this is the bug I mentioned earlier

<@UE1Q8H405> <@UBAJ7TD53> I have been hitting this issue myself -- the error shows up differently for me

"Error: Code="ServicePrincipalNotFound" Message="Service principal clientID: 7cab766e-e8f7-481c-a2a2-f8ec4f642656 not found in Active Directory tenant 706143bc-e1d4-4593-aee2-c9dc60ab9be7"

basically it is a race condition where the Service Principal required by the AKS cluster is not being created on time by the AD and hence AKS cluster creation fails.

someone in TF issued a workaround (this is specific to role assignment but the underlying issue is the same): <https://github.com/terraform-providers/terraform-provider-azurerm/pull/2204> however it does not work -- will reopen the issue and the issue on our side that was previously closed to track this <https://github.com/pulumi/pulumi-azure/issues/103>

This seems to be a different issue, my issue was that the service principal I created does not seem to have the permissions to create another service principal. <@UBAJ7TD53> <@UGSM7BKJ4>

should be tied to the same race condition - mind sharing your `index.ts` file

I was doing it in python, with this tutorial. <https://pulumi.io/quickstart/azure/tutorial-azure-kubernetes-service.html>

I do not believe the issue <@UE1Q8H405> is hitting is the same issue that <@UGSM7BKJ4> and <@UBAJ7TD53> are referring to.

&gt; Insufficient privileges to complete the operation.

This suggest that the service principal does not have some permission needed for AKS.  I suspect it's related to <https://github.com/Azure/AKS/issues/149#issuecomment-361445681>?