Direct Lake Mode in Power BI 

Introduction 

Power BI has revolutionized data analytics with its fast and interactive visualizations. However, handling large datasets efficiently has always been a challenge. Traditionally, users relied on Import Mode for speed or DirectQuery Mode for real-time access—but both had limitations. 

Enter Direct Lake Mode—a new and game-changing feature in Microsoft Fabric that provides high-speed querying directly from OneLake without the need for data import or slow DirectQuery connections. In this blog, we’ll explore how Direct Lake Mode works, why it requires high SKU capacity (such as SKU-64), and best practices to maximize performance. 

What is Direct Lake Mode? 

Direct Lake Mode is a hybrid approach that combines the best of Import Mode and DirectQuery Mode: 

  • Like Import Mode: Fast query performance by accessing pre-optimized data. 
  • Like DirectQuery Mode: No need to refresh data as changes in OneLake are reflected automatically. 

Unlike DirectQuery, which queries the source database each time, Direct Lake loads optimized parquet files from OneLake into memory, ensuring low-latency performance. 

How Direct Lake Differs from Other Modes 

Feature Import Mode DirectQuery Mode Direct Lake Mode 
Performance Fast Slower Fast (Optimized) 
Data Freshness Requires Refresh Real-Time Near Real-Time 
Storage Location Power BI Dataset External DB OneLake (Fabric) 
Ideal Use Case Small-Medium Data Real-Time Reporting Large Datasets in Fabric 

Why Does Direct Lake Require SKU-64? 

Since Direct Lake Mode loads data on-demand and caches it for quick retrieval, it requires high-memory capacity. The SKU-64 tier in Microsoft Fabric provides: 

  • Faster Query Execution – More compute power to process large tables. 
  • Efficient Memory Management – Loads and caches more data efficiently. 
  • Seamless Integration with OneLake – Supports large-scale analytics with minimal latency. 

How to Enable Direct Lake in Power BI? 

Step 1: Ensure You Have a Fabric Lakehouse 

  • Open Microsoft Fabric and create a Lakehouse with data stored in Delta tables. 

Step 2: Create a Power BI Dataset Using Direct Lake 

  1. In Power BI Service, go to Workspace > New Dataset. 
  1. Select Lakehouse as a Data Source. 
  1. Choose Direct Lake Mode when prompted. 
  1. Build a report in Power BI using this dataset. 

Step 3: Optimize Performance 

  • Use partitioning and indexing in Fabric Lakehouse to speed up queries. 
  • Avoid unnecessary joins—Direct Lake performs best with denormalized tables. 
  • Monitor performance using Power BI Performance Analyzer. 

Best Practices for Using Direct Lake Mode 

  • Use SKU-64 or more for Large Datasets – More memory ensures better caching and faster queries. 
  • Leverage Power BI Aggregations – Pre-aggregate data to minimize query time. 
  • Optimize Lakehouse Tables – Store data in Parquet or Delta format for best results. 
  • Monitor Query Performance – Use Fabric Monitoring Hub to track Direct Lake queries. 

Conclusion 

Direct Lake Mode in Power BI, powered by Microsoft Fabric, is a breakthrough for enterprise-scale analytics. By eliminating data refresh delays and enhancing query performance, it provides a seamless and powerful reporting experience. For organizations handling big data, using Direct Lake Mode with SKU-64 ensures fast, scalable, and real-time analytics—unlocking the full potential of Microsoft Fabric.

Addend Analytics is a leading Power BI consulting services provider and Microsoft Power BI partner based in Mumbai, India. In addition to Power BI implementations, we specialize in providing end-to-end solutions like Business Central with Power BI to unlock actionable insights. Our expertise also extends to Microsoft Fabric consulting, offering competitive Microsoft Fabric pricing to meet your business needs.
We have successfully delivered Power BI for Manufacturing industry, with real-time Power BI manufacturing dashboards. Having successfully completed over 100 projects across industries such as financial services, banking, insurance, retail, sales, real estate, logistics, and healthcare. Whether you’re exploring Business Central implementation cost or seeking advanced data analytics, Addend Analytics is here to help. Get a free consultation now by emailing us at kamal.sharma@addendanalytics.com.

Addend Analytics is a Microsoft Gold Partner based in Mumbai, India, and a branch office in the U.S.

Addend has successfully implemented 100+ Microsoft Power BI and Business Central projects for 100+ clients across sectors like Financial Services, Banking, Insurance, Retail, Sales, Manufacturing, Real estate, Logistics, and Healthcare in countries like the US, Europe, Switzerland, and Australia.

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