Ran these two commands:

az resource group create -l westus -n demo513
az vm create -n Demo513VM -g Demo513 --ssh-dest-key-path ~/.ssh/id_rsa.pub --admin-username ops -l westus --admin-password "Password3#3asdf"

deployment failed:

{
"status": "Failed",
"error": {
"code": "ResourceDeploymentFailure",
"message": "The resource operation completed with terminal provisioning state 'Failed'.",
"details": [
{
"code": "DeploymentFailed",
"message": "At least one resource deployment operation failed. Please list deployment operations for details. Please see http://aka.ms/arm-debug for usage details.",
"details": [
{
"code": "BadRequest",
"message": "{\r\n "error": {\r\n "code": "StorageAccountNotRecognized",\r\n "message": "Please use a storage account managed by Storage Resource Provider. Use of vhdstoragebw2jhvgrngayk is not supported."\r\n }\r\n}"
}
]
}
]
}
}