ModuleNotFoundError: No module named 'azure.identity'

TL;DR: This is almost always a namespace-package collision: an old azure/init.py (from legacy azure-mgmt packages) shadows the real namespace, or pip installed into a different interpreter than the one running your code. Reinstall azure-identity and verify the interpreter match.

ModuleNotFoundError: No module named 'azure.identity'

Fix it

1. Confirm interpreter alignment: python -m pip show azure-identity and python -c "import sys; print(sys.executable)". Expected: the pip belongs to the same interpreter running your code. If not, use python -m pip for everything.
2. Look for a shadowing namespace package: python -c "import azure; print(azure.path)". If it points at an old azure-mgmt install with init.py, uninstall the legacy packages: pip uninstall azure-mgmt-common azure-common. Expected: azure.path then resolves to the namespace install.
3. Reinstall cleanly: pip install --force-reinstall azure-identity. Expected: the import works.
4. In Docker, make sure you are not copying an old site-packages over the new install.

When this applies

• pip shows azure-identity installed but the import fails.
• Multiple azure-* packages are installed, some of them legacy.

When it doesn't

• pip does not show azure-identity: just pip install azure-identity.
• The import works but token calls fail: that is a credential problem.

Compatibility

• azure-identity any recent version; Python 3.8+.

Why it happens

Azure SDK packages share the azure.* namespace. Legacy packages shipped a real azure/init.py using pkg_resources namespace tricks, which blocks the modern PEP 420 namespace layout and hides azure.identity.

Edge cases

• Conda envs with pip-installed azure packages are a classic trigger; prefer one installer per env.
• If you vendor dependencies, include the .dist-info directories; namespace resolution needs them.