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Issue: The script uses Search-AzGraph to locate resources. Search-AzGraph does not honor AzContext when executing in Cloud Shell. This is a problem when you have more than 1000 subscriptions. The Search-AzGraph commandlet only returns results from the first 1000 subscriptions even though AzContext is filtered to 1 sub and you have only passed 1 sub to the modify-arc-sql-license-type script.
In my test case, I am attempting to run the script against a device in a specific sub, but it cannot be found. I have access to over 2800 subs and the device I am looking for is not in the first 1000 subs.
Possible solution: Update Search-AzGraph to honor AzContext.