It has a default selection of "functionb7be452dbab0" in my case, but I can change it to select other storage accounts. There is no documentation that I can see which explains the storage account
setting.
It is used for several things:
In Consumption mode, it holds your files, using Azure Files. i.e. all you function files exist in there.
In addition, the script runtime (based on the WebJobs SDK) uses Blobs, Queues and Tables as part of its infrastructure. e.g. it uses that to synchronize the work between multiple instances. It also stores logging information there.
Note that you can easily see all this by using Microsoft Azure Storage Explorer and looking at all the things in there.
As an aside, you can optionally also make use of this storage account for your own queues and blobs that you want to use in your functions.
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