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While adding subnet for creating a WAFV2 application gateway in azure, I tried to use the subnet used in WAFV1 gateway. But it is showing an error "Subnet does not support application gateway tier".

NVJ
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In your virtual network, an application gateway is a dedicated deployment. The application gateway requires its own subnet within your virtual network. In a subnet, you can have many instances of the same application gateway deployment. Both v2 and v1 Application Gateway SKUs cannot be supported by the same subnet. please refer this document.