Disk space in Azure labs can get a problem. E.g. I'm using a Win2019 Hyper-V Server, and the lab environment for my students are the VMs on that system.
Even with differencing VM disks the end of disk space is quickly reached when using several VMs.
RAM and Cores aren't a problem - but disk space!
My interim solution is deduplication - but nothing is better than more disk space!