Choosing Between Synapse and Fabric Link for Your Data Projects

In the domain of data management and analytics, choosing the right tools and platforms can significantly impact the efficiency and effectiveness of your projects. As Microsoft Dynamics 365 customers—including those using Finance & Operations (F&O) and Customer Engagement (CE)—look to migrate from BYOD to Microsoft Fabric, or as new implementations are planned, it is essential to decide how best to access data from their ERP systems.

A common dilemma is deciding between Synapse Link and Fabric Link for these data initiatives. Both options offer unique features and capabilities, but understanding their strengths and use cases is crucial for making informed decisions.

Microsoft has provided both options to address a wide range of customer scenarios. With recent enhancements, Fabric Link is now the default recommendation for most organizations, except those with extremely large datasets (typically above 3–5 TB), where Synapse Link may still be preferred.

Now knowing the difference between both options at a high level, let's look at what may be the best option for you. 

Data Volume and Complexity

• Fabric Link: Recommended for data up to 2-3 TB; cost-effective and supports advanced analytics and AI. 
• Synapse Link: Only recommended for data volumes above 3–5 TB.

Performance Requirements

• Fabric Link: Now stores data in Parquet files in Dataverse, but queries utilize Fabric compute, so performance depends on the Fabric capacity provisioned for the customer, not on Dataverse. This means Fabric Link is no longer just for lower data volumes or relaxed performance needs; it can deliver strong performance based on the allocated Fabric resources. 
• Synapse Link: Provides data storage in Lake with Parquet format, leveraging big data tools and technology for optimal performance.

Data Engineering and Transformation

• Fabric Link: Microsoft Fabric becomes the central data platform for the organization, streamlining the merging and management of different data sets and enabling advanced analytics and AI functionalities on top of them. This makes comprehensive analysis and integration across multiple sources optimal and efficient.
• Synapse Link: Best for extensive data engineering, such as building a data warehouse and merging data from multiple sources.

Cost Considerations

• Fabric Link: More cost-effective for up to 1–2 TB data due to high compression and lower storage costs.
• Synapse Link: Cost-optimized only for very large datasets (3–5 TB).

Implementing Dynamics 365 or Migrating from Legacy BYOD Databases

As Microsoft Dynamics 365 customers (including F&O and CE) look to modernize their data management and analytics strategies, choosing the right integration approach is critical. Organizations migrating from legacy BYOD databases or starting new implementations must determine the optimal method to access and leverage ERP data for analytics and reporting.

Microsoft now offers Fabric Link and Synapse Link, each with distinct advantages. Fabric Link is recommended for most organizations due to its cost efficiency, near real-time data refresh, and streamlined integration with Microsoft Fabric’s advanced analytics and AI capabilities. Synapse Link remains valuable for scenarios involving very large datasets (typically above 2–3 terabytes).

Understanding the strengths and use cases of each option ensures informed decision-making and maximizes the value of your Dynamics 365 data initiatives. 

Fabric Shortcut and Mirroring for External Data Sources 

Microsoft Fabric provides powerful capabilities to create shortcuts from most Azure services and to mirror data from a variety of external databases, including SQL Server, Oracle, AWS S3, and Snowflake. These features enable organizations to seamlessly bring data into Fabric storage (OneLake) and integrate it with enterprise business applications, such as Dynamics 365 (F&O and CE).

This approach streamlines data engineering, supports advanced analytics, and simplifies merging data from multiple sources, whether on-premises or in the cloud. Leveraging Fabric shortcuts and mirroring ensures optimal performance, cost efficiency, and a unified data platform for modern analytics needs.

Asad Mahmood is a visionary leader in enterprise data transformation with over 25 years of experience driving innovation at the intersection of ERP and AI. As Vice President of Data & AI at HSO, he leads global teams in designing intelligent data platforms that leverage Microsoft Azure, Microsoft Fabric, Copilot, and the Power Platform to drive enterprise transformation. He brings a strategic perspective on how to embed AI and advanced analytics into Microsoft Dynamics 365 and other ERP systems, unlocking business value and accelerating innovation.