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A collection is a container for a number of projects in Azure DevOps. A default collection is created when you sign up with Azure DevOps Services or install Team Foundation Server. Within Azure DevOps Services, a collection corresponds to an organization. For on-premises TFS deployments, you can add and manage collections to specify the logical and physical resources available to the projects within the collection.
Learn more: About projects and scaling your organization, Manage organizations or Manage project collections in Team Foundation Server.