Managed and external volumes may look the same because both store data in the customerโs S3 and use customer IAM roles. However, the real difference is who controls the data folder.
With a managed volume, Databricks creates the folder in S3 and controls it. If the volume is deleted, Databricks also deletes the data.
With an external volume, the folder already belongs to the customer. Databricks can read and write to it, but if the volume is deleted, the data stays in S3.
Simply: the data lives in the same place, but the ownership is different. Managed volumes are controlled by Databricks; external volumes are controlled by the customer.