Microsoft has annouced that the Azure team is now working on “In-Place VM transition”feature on July 28 in the Azure dev team blog.

With this new feature, there will be no need of a virtual machine restarts when the host OS requires an update.

For further details on this announcement, visit the official Microsoft Azure dev team blog post from the link below.

https://azure.microsoft.com/en-us/updates/azure-in-place-virtual-machine-migration-eliminates-virtual-machine-reboots-during-critical-security-updates-for-host-os/