Using Power BI Embedded with datasets that include a DirectQuery connection to a Power BI datasets

We currently offer a "base" dataset that contains our base data model (tables, relationships and RLS) which we clone and offer to hundreds of customers.



However, most customers would like to extend/customize the base model so we need to offer a certain amount of flexibility without having to maintain hundreds of customized "base" model.



Using a chained dataset strategy (Report => Proxy dataset => DirectQuery => Base dataset) allows the customer to extend our "base" dataset by add their own measures, tables, columns, relationships, RLS to their "proxy" dataset without impacting the base dataset.



As an ISV, it makes the most business sense to provide frequent updates to our customer via the "base" dataset and allow them to extend the base model themselves.



This method works great when the Report, Proxy dataset and Base dataset are hosted on powerbi.com but does not work when hosted in Power BI Embedded.



Enabling this feature for Power BI Embedded will allow ISVs to more efficient in providing solution that can scales to hundreds and thousands of customers.