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If you are Experiencing issues with a Pi-hole install that has non-standard elements (e.g you are using nginx instead of lighttpd, or there is some other aspect of your install that is customised) - please use the Community Help category.
Expected Behaviour:
Pihole (Docker container) works as expected with unmapped volumes in Azure Container Instances as it does mounting /etc/pihole to an Azure volume per this article https://docs.microsoft.com/en-us/azure/container-instances/container-instances-volume-azure-files
Actual Behaviour:
When utilizing Azure volume mounts in JSON script to provision the container, the container's setup fails and cannot seem to setup the Gravity or FTL database on /etc/pihole. Looks like the permissions are not being set correctly and says the database is locked. You can see the JSON I'm using to provision the container and setup the mounts on GitHub - GitHub - mkleef/AzurePihole: A repo for Azure Pihole configuration.
Using the same JSON, without the volume mappings, the container works as expected.