With erwin r9.7, it now supports direct connection to Microsoft SQL Azure database. You do not need to acquire additional license for SQL Azure in order to connect and for Reverse/Forward Engineering.
Azure is a Microsoft Cloud database. Before connecting to SQL Azure from erwin, you should have an existing SQL Azure database running on Microsoft Azure platform, e.g.:
https://portal.azure.com/#dashboard/private/e2ad3007-87d0-42fd-b987-8efe622c54b7
Login using your SQL Azure user name and password to an SQL Azure database setup:
Before connecting from erwin, try connecting via SQL Management Studio to validate the connection from your local PC to the SQL Azure database.
In erwin r9.6.x and higher, select target server as 'SQL Azure':
Using a valid user name and password connect to SQL Azure:
Reverse Engineer to get erwin model: