Power BI developers often encounter challenges like inconsistent data formats, missing values, and disparate data sources during the data integration phase. Handling large datasets can strain performance, requiring efficient query design and optimization. Complex business rules may necessitate advanced transformations in Power Query. Connectivity issues with APIs or legacy systems can also pose hurdles. Power BI developers address these challenges by using automation, creating reusable ETL pipelines, and leveraging tools like incremental refresh. Overcoming these obstacles ensures a seamless and scalable data integration process that forms the foundation for accurate analytics.