Infrastructure: Remove Application Insights output and review dependencies

[paulyuk]

🚨 Infrastructure and Best Practices Updates - Propagation from functions-quickstart-dotnet-azd PR #18

This issue tracks infrastructure and best practices changes that need to be applied to maintain consistency across Azure Functions AZD templates, based on PR #18 merged on August 7, 2025.

Required Changes

1. 🏗️ Remove Application Insights from Bicep Outputs

Remove this line from infra/main.bicep:

// REMOVE this line
output APPLICATIONINSIGHTS_CONNECTION_STRING string = monitoring.outputs.name

2. 📦 Update TypeScript/Node.js Dependencies

Review and update dependencies in package.json to their latest stable versions:

{
  "dependencies": {
    "@azure/functions": "latest",
    // Update other Azure Functions-related packages
  },
  "devDependencies": {
    "typescript": "latest",
    "@types/node": "latest"
    // Update other dev dependencies
  }
}

3. 🔍 Review for Development-Only Configuration

Ensure no development-specific configuration is included in template files:

• Remove any hardcoded connection strings
• Remove development-only environment variables
• Ensure secrets are properly externalized

Impact

• Security: Removes exposed configuration from template
• Compatibility: Updates to latest stable versions
• Consistency: Aligns with current best practices across all Azure Functions AZD templates

Reference

• Source PR: Removing app insights from output and dotnet secrets id, updating package refs functions-quickstart-dotnet-azd#18
• Author: @nzthiago
• Scope: Part of batch propagation across 19 Azure Functions AZD templates

Related Language-Specific Templates

Similar infrastructure updates needed for:

• .NET templates ✅ (Issues created)
• Python templates ✅ Issue #18
• JavaScript templates (2 repositories)
• PowerShell templates (2 repositories)
• Java templates (1 repository)

/cc @nzthiago