Scenario: Workspace1 contains: Pipeline1 and Lakehouse1. A folder named Folder1 is created in Workspace1. Lakehouse1 is moved into Folder1. A deployment pipeline DeployPipeline1 deploys from Workspace1 # Workspace2. Key Behavior: Deployment pipelines in Microsoft Fabric maintain the folder hierarchy of items when deploying between workspaces. If an item (Lakehouse1) is placed in a folder (Folder1), the same folder structure is replicated in the target workspace. Items not placed in the folder (Pipeline1) remain at the root level. Result in Workspace2 after deployment: Pipeline1 remains at the root. Lakehouse1 is placed inside Folder1.