Microsoft Entra ID

What it does

Microsoft Entra ID (formerly Azure Active Directory) is Microsoft's enterprise identity and access management platform - providing single sign-on, multi-factor authentication, conditional access, and identity governance for Microsoft and third-party applications. AI capabilities include AI risk-based authentication that assesses sign-in risk from behavioral signals and blocks suspicious logins while allowing low-risk access with minimal friction, intelligent conditional access policies that dynamically grant or restrict access based on user, device, location, and application risk, ML identity protection that detects compromised credentials and anomalous user behavior, AI-assisted access reviews that recommend entitlement cleanup decisions, and automated identity governance workflows.

Strengths

• Mid-market IT teams use Microsoft Entra ID for enterprise identity - AI risk-based authentication reducing friction for legitimate users while blocking suspicious sign-ins and automated access reviews maintaining least-privilege.
• Large enterprises use Microsoft Entra ID for enterprise identity governance - AI identity protection monitoring millions of sign-ins for threats and automated governance workflows managing access across complex organizations.
• Small organizations on Microsoft 365 use Entra ID for identity management - AI multi-factor authentication and conditional access protecting accounts with minimal configuration.

Watch-outs

• Okta has stronger identity market position for heterogeneous environments: Okta's identity platform is more neutral across cloud providers and has stronger integrations for non-Microsoft applications — organizations with complex multi-cloud, multi-vendor environments often prefer Okta for broader IAM coverage.
• Advanced AI identity features require P2 licensing: Microsoft Entra ID's AI risk-based authentication and identity protection require P2 licensing at $9/user/month — the additional cost adds up for large organizations.
• Best within Microsoft 365 and Azure ecosystem: Entra ID's integration depth is strongest for Microsoft applications — organizations with significant non-Microsoft SaaS portfolios may require additional identity orchestration alongside Entra.

Pricing

Entra ID Free included with {{microsoft-365}}. P1 at $6/user/month. P2 at $9/user/month. Suite pricing in {{microsoft-365}} E3/E5 bundles. Annual contracts.