Performing an in-place OS upgrade from RHEL 7 to RHEL 8 without a Red Hat subscription can be challenging, but i see it seems to be possible using the Leapp utility. However it is not under the support stance of azure
Please refer to the following links for detailed information
https://www.redhat.com/en/resources/leapp-explained-detail
https://learn.microsoft.com/en-us/azure/virtual-machines/workloads/redhat/redhat-in-place-upgrade
Hope this helps!
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