Which kind of database is used by Power BI Desktop and in which form and where it is store the database?
In short it runs on a private/standalone version of SSAS (SQL Server Analysis Services ) tabular engine behind the scene.
Data is stored on RAM and it is stored and evaluated column by column unlike SQL server which stores on Disk on row by row basis.
More details are covered in depth in The Definitive Guide To DAX if you have that book.
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Power BI uses an in-memory SSAS Tabular database behind the scenes that’s created on-the-fly each time a PBIX file is opened; it doesn’t store data on disk in a form that is readable AFAIK by other tools.
Greg
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