Both of those things are true in different ways.
Purpose built for azure probably means integration with azure meta data APIs and kernel specific tweaks for the hardware.
It could also be general purpose for what you can run on it.
Basically it's a curated distro. Not complicated or anything different from what AWS and GCE are doing.
Your statement is contradicting with stating it was Purposely built for Azure.
Someone would have to make a Ubuntu equivalent and use Azure Linux as the base to turn it into a general purpose Linux OS.
Personally, I don't trust Microsoft and their Linux distro with how they Enshitified Windows OS and all of their other software products. Add in the fact that Microsoft likes to multi-count CVEs, per distro, instead of the actual flaw to try and make Windows OS look better when it comes to security.
Microsoft is a bad actor.
> It could also be general purpose for what you can run on it.
Yeah of course, it's a Linux distribution. But feels like a marketing push when multiple people suddenly go "oh yeah Microsoft building a general purpose Linux distribution" when that's not what's happening. So what if it isn't general purpose and built purposefully for Azure? It doesn't remove anything, just being more accurate with how it's being marketed.