As you see here, we would be able to create AreaPaths for different teams under our project to segregate work for different teams. In somecases there would be teams within teams (aka Sub Teams within a major team)
For example if you take SAP, there would be different teams for different modules like SD, PP, APO, FICO, MM etc., So we may need to create different AreaPaths for those sub teams within a main team and thats also possible with Azure DevOps
Creating a FICO team under SAP
Like wise you can create different sub Area Paths for different teams within a major AreaPath as shown to your left.This augurs good for teams who have a lot of sub teams under a big team.
And this is also helpful in situations when there are multiple vendors in a project and you wanted to have vendor backlogs separately