Currently the Azure actuator validates to ensure that user managed identity is enabled for all VMs it creates.
Azure Red Hat OpenShift needs to be able to create 4.4 clusters without user managed identity as part of required security architecture modifications for the service.
Verified in 4.4.0-0.nightly-2019-12-19-223334
The IPI installer creates the machineSet with managedIdentity on Azure, to verify this, I removed the managedIdentity from a machineSet providerSpec then scale it up. Machine and VM are provisioned successfully.