Actually, My SQL Admin told me that this is the ideal best practice to install the SQL on separate drive (even the installation along with the DB, Log & TempDB) in On-Prem.......so checking.
The normal way to install SQL Server on an Azure VM is to use on of the SQL Azure VM images, and as far as I know, they come with the SQL Server binaries installed in C:\Program Files\Microsoft SQL Server. You cannot override this when you create VM through the portal. It might be overrirdable if you create the VM through ARM, Bicep or PowerShell, but I would not really expect so.
Thus, to change that you would have to uninstall SQL Server and re-install. Or you would have to take a non-SQL Server image and install SQL Server on it.
In both cases, you are likely to add extra complexity which may come back and bite you later. If Microsoft creates their Azure SQL VMs with the binaries on C, they probably consider that a good practice.
And, myself, VM or on-prem, I can't see much reason to have the binaries than in the usual place in C:\Program Files. The Data and Log directories are another matter. For a production server, you don't want any database files on the OS-Disk.