The SQL extension for Arc-connected servers itself isn’t new, however, it has had a new feature added that is currently in preview; which is the ability to create Azure resources that represent your SQL Database through the Arc-connected Servers.

You can see this will detect objects for SQL instances, named SQL instances, and the databases themselves become objects in Azure

If you already have this installed this is one configuration setting you may want to check and that is “Has NT AUTHORITY\SYSTEM in the sysadmin role.” This is listed in the prerequisites of the install instructions that can be found here View SQL Server databases - SQL Server | Microsoft Learn

It is worth noting this currently works only for the Microsoft.HybridCompute type and not for example the VMware connected Arc systems Microsoft.ConnectedVMwarevSphere.

There are some properties here listed as unknown however, this is a bug that has already been fixed.

This is the next step to bringing SQL databases into the Azure control plane, creating alerts on recovery models, encryption state, or perhaps statistic creation. Enabling more visibility and control into the Hybrid Cloud journey.

This is the first public preview of this feature and I’ll definitely be keeping an eye out for future revisions and enhancements.