diff --git a/terraform/azure/azure-aks-k8s/README.md b/terraform/azure/azure-aks-k8s/README.md
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+# azure-aks-k8s
+
+This example creates the following:
+
+- a Virtual Network with appropriate subnets using the [Azure RM Module for Network](https://registry.terraform.io/modules/Azure/network/azurerm/latest)
+from the Terraform Registry
+- an Azure Kubernetes Service (AKS) cluster with default node pool
+- a system-assigned managed identity for the AKS cluster
+- Azure CNI networking for better network performance
+- Optional Log Analytics workspace for monitoring
+
+## Prerequisites
+
+- [Azure CLI](https://docs.microsoft.com/en-us/cli/azure/install-azure-cli) installed
+- [Terraform](https://www.terraform.io/downloads.html) installed (version >= 1.0)
+- Azure subscription and appropriate permissions
+
+## To use
+
+Follow the documentation to configure the Azure provider:
+
+- [Azure](https://registry.terraform.io/providers/hashicorp/azurerm/latest/docs)
+
+### Deploy
+
+```shell
+terraform init
+terraform apply
+```
+
+## To destroy
+
+```shell
+terraform destroy
+```
+
+## Configuration
+
+The example uses variables with default values that can be overridden. You can create a `terraform.tfvars` file to customize the deployment:
+
+```hcl
+resource_group_name = "my-aks-rg"
+location           = "westeurope"
+cluster_name       = "my-production-cluster"
+node_count         = 3
+vm_size           = "Standard_D4s_v3"
+```
+
+## Outputs
+
+After applying the configuration, Terraform will output:
+- `kube_config`: The Kubernetes config file (sensitive)
+- `cluster_endpoint`: The AKS cluster endpoint
+- `cluster_ca_certificate`: The cluster CA certificate (sensitive)
+- `cluster_name`: The name of the AKS cluster
+- `resource_group_name`: The name of the resource group
+
+## Features
+
+- Azure CNI networking
+- System-assigned managed identity
+- Auto-scaling enabled by default
+- Customizable node pool configuration
+- Network security through VNet integration
+- Resource tagging support
+
+## Notes
+
+- The default configuration uses `Standard_D2_v2` VMs which are suitable for development/testing
+- For production workloads, consider using larger VM sizes and enabling additional security features
+- The network configuration uses Azure CNI for better network performance and security 
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diff --git a/terraform/azure/azure-aks-k8s/cluster.tf b/terraform/azure/azure-aks-k8s/cluster.tf
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+# AKS Resources
+
+resource "azurerm_resource_group" "aks" {
+  name     = "${local.name}-rg"
+  location = var.location
+  tags     = local.tags
+}
+
+module "vpc" {
+  source = "../internal-modules/azure-network"
+
+  name = local.name
+  tags = local.tags
+
+  location            = var.location
+  resource_group_name = azurerm_resource_group.aks.name
+
+  cidrs                            = var.vnet_address_space
+  subnet_cidrs                     = var.subnet_address_prefixes
+  subnet_name_public               = "aks-nodes"
+  subnet_name_private              = "aks-private"
+  subnet_name_private_dns_resolver = "dns-resolver"
+}
+
+# AKS Cluster
+resource "azurerm_kubernetes_cluster" "aks" {
+  name                = local.name
+  location            = azurerm_resource_group.aks.location
+  resource_group_name = azurerm_resource_group.aks.name
+  dns_prefix          = local.name
+  kubernetes_version  = var.kubernetes_version
+
+  # Add node resource group name
+  node_resource_group = "${local.name}-node-rg"
+
+  default_node_pool {
+    name                = "default"
+    vm_size             = var.vm_size
+    vnet_subnet_id      = module.vpc.public_subnet_id
+    enable_auto_scaling = var.enable_auto_scaling
+    min_count           = var.min_count
+    max_count           = var.max_count
+    os_disk_size_gb     = 50
+    zones               = [1, 2, 3]
+  }
+
+  identity {
+    type = "SystemAssigned"
+  }
+
+  network_profile {
+    network_plugin    = "azure"
+    service_cidr      = var.service_cidr
+    dns_service_ip    = var.dns_service_ip
+    load_balancer_sku = "standard"
+  }
+
+  # Use oms_agent addon directly instead of addon_profile
+  dynamic "oms_agent" {
+    for_each = var.enable_log_analytics_workspace ? [1] : []
+    content {
+      log_analytics_workspace_id = azurerm_log_analytics_workspace.aks[0].id
+    }
+  }
+
+  tags = local.tags
+}
+
+# Conditionally create Log Analytics workspace if monitoring is enabled
+resource "azurerm_log_analytics_workspace" "aks" {
+  count               = var.enable_log_analytics_workspace ? 1 : 0
+  name                = "${local.name}-logs"
+  location            = azurerm_resource_group.aks.location
+  resource_group_name = azurerm_resource_group.aks.name
+  sku                 = "PerGB2018"
+  retention_in_days   = var.log_retention_in_days
+  tags                = local.tags
+} 
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diff --git a/terraform/azure/azure-aks-k8s/main.tf b/terraform/azure/azure-aks-k8s/main.tf
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+locals {
+  name = var.cluster_name != "" ? var.cluster_name : "example-${basename(path.cwd)}"
+
+  tags = merge({
+    Name        = local.name
+    Environment = var.environment
+    ManagedBy   = "Terraform"
+  }, var.tags)
+} 
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diff --git a/terraform/azure/azure-aks-k8s/outputs.tf b/terraform/azure/azure-aks-k8s/outputs.tf
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+# Output the cluster's credentials
+output "kube_config" {
+  description = "Raw kubeconfig content for the AKS cluster"
+  value       = azurerm_kubernetes_cluster.aks.kube_config_raw
+  sensitive   = true
+}
+
+output "cluster_endpoint" {
+  description = "Kubernetes API server endpoint"
+  value       = azurerm_kubernetes_cluster.aks.kube_config.0.host
+  sensitive   = true
+}
+
+output "cluster_ca_certificate" {
+  description = "Base64 encoded certificate authority of the Kubernetes cluster"
+  value       = azurerm_kubernetes_cluster.aks.kube_config.0.cluster_ca_certificate
+  sensitive   = true
+}
+
+output "cluster_name" {
+  description = "Name of the AKS cluster"
+  value       = azurerm_kubernetes_cluster.aks.name
+}
+
+output "resource_group_name" {
+  description = "Name of the resource group containing the AKS cluster"
+  value       = azurerm_resource_group.aks.name
+}
+
+output "vnet_id" {
+  description = "ID of the virtual network"
+  value       = module.vpc.vnet_id
+}
+
+output "principal_id" {
+  description = "Principal ID of the AKS cluster identity"
+  value       = azurerm_kubernetes_cluster.aks.identity[0].principal_id
+}
+
+output "node_resource_group" {
+  description = "Auto-generated resource group for the AKS cluster nodes"
+  value       = azurerm_kubernetes_cluster.aks.node_resource_group
+} 
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diff --git a/terraform/azure/azure-aks-k8s/providers.tf b/terraform/azure/azure-aks-k8s/providers.tf
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+provider "azurerm" {
+  skip_provider_registration = true
+  features {
+    resource_group {
+      prevent_deletion_if_contains_resources = false
+    }
+  }
+} 
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diff --git a/terraform/azure/azure-aks-k8s/variables.tf b/terraform/azure/azure-aks-k8s/variables.tf
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+variable "location" {
+  description = "Azure region where resources will be created"
+  type        = string
+  default     = "eastus"
+}
+
+variable "cluster_name" {
+  description = "Name of the AKS cluster (will generate one if empty)"
+  type        = string
+}
+
+variable "environment" {
+  description = "Environment for the resources (e.g., dev, test, prod)"
+  type        = string
+  default     = "dev"
+}
+
+variable "tags" {
+  description = "A map of tags to add to all resources"
+  type        = map(string)
+  default     = {}
+}
+
+variable "kubernetes_version" {
+  description = "Kubernetes version to use for the AKS cluster"
+  type        = string
+  default     = "1.31.6"
+}
+
+variable "vm_size" {
+  description = "VM size for the AKS node pool"
+  type        = string
+  default     = "Standard_DS2_v2"
+}
+
+variable "enable_auto_scaling" {
+  description = "Enable auto scaling for the AKS node pool"
+  type        = bool
+  default     = true
+}
+
+variable "min_count" {
+  description = "Minimum number of nodes in the AKS node pool"
+  type        = number
+  default     = 1
+}
+
+variable "max_count" {
+  description = "Maximum number of nodes in the AKS node pool"
+  type        = number
+  default     = 3
+}
+
+variable "vnet_address_space" {
+  description = "Address space for the virtual network"
+  type        = list(string)
+  default     = ["10.0.0.0/16"]
+}
+
+variable "subnet_address_prefixes" {
+  description = "Address prefixes for the subnets (requires 3 subnets for nodes, private, and DNS resolver)"
+  type        = list(string)
+  default     = ["10.0.1.0/24", "10.0.2.0/24", "10.0.3.0/24"]
+}
+
+variable "service_cidr" {
+  description = "CIDR range for Kubernetes services"
+  type        = string
+  default     = "172.16.0.0/16"
+}
+
+variable "dns_service_ip" {
+  description = "IP address for Kubernetes DNS service (must be within service_cidr)"
+  type        = string
+  default     = "172.16.0.10"
+}
+
+variable "docker_bridge_cidr" {
+  description = "CIDR notation IP for Docker bridge"
+  type        = string
+  default     = "172.17.0.1/16"
+}
+
+variable "availability_zones" {
+  description = "List of availability zones to use for the node pool"
+  type        = list(number)
+  default     = [1, 2, 3]
+}
+
+variable "os_disk_size_gb" {
+  description = "Disk size for nodes in GB"
+  type        = number
+  default     = 50
+}
+
+variable "os_disk_type" {
+  description = "Disk type for nodes"
+  type        = string
+  default     = "Managed"
+}
+
+variable "node_labels" {
+  description = "Labels to apply to nodes in the default node pool"
+  type        = map(string)
+  default     = {}
+}
+
+variable "enable_log_analytics_workspace" {
+  description = "Enable the creation of a Log Analytics workspace for the AKS cluster"
+  type        = bool
+  default     = false
+}
+
+variable "log_retention_in_days" {
+  description = "Number of days to retain logs in Log Analytics"
+  type        = number
+  default     = 30
+} 
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diff --git a/terraform/azure/azure-aks-k8s/versions.tf b/terraform/azure/azure-aks-k8s/versions.tf
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+terraform {
+  required_providers {
+    azurerm = {
+      source  = "hashicorp/azurerm"
+      version = "~> 3.0"
+    }
+  }
+} 
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