Provision Azure Kubernetes ACS cluster using Azure 2.0 CLI
It appears that its a bug, there is no such VM Image:
C:\> Get-AzureRmVMImage -Location westeurope -PublisherName $pubName -Offer $offerName ` -Skus 2016-Datacenter-with-Containers | select versionVersion-------2016.127.201704062016.127.201704112016.127.20170510I've reproduced your error.You should raise an issue here.
Maybe I am missing something, but I think you should use az aks instead of az acs. Nice blog about it here.
ACS is pretty deprecated service (it was Azure offering for multi-containers orchestrators), and now it replaced by AKS.