Yes.
An Unexpected Downtime is when the hardware or the physical infrastructure for the virtual machine fails unexpectedly. This can include local network failures, local disk failures, or other rack level failures. When detected, the Azure platform automatically migrates (heals) your virtual machine to a healthy physical machine in the same datacenter. During the healing procedure, virtual machines experience downtime (reboot) and in some cases loss of the temporary drive. The attached OS and data disks are always preserved.
If the host server cannot reboot for any reason, the Azure platform initiates an auto-recovery action to take the faulty host server out of rotation for further investigation.
All VMs on that host are automatically relocated to a different, healthy host server. This process is usually complete within 15 minutes.
Hope that helps answer your question.
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