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AWS Directory Service vs Microsoft Entra ID comparison

 

Comparison Buyer's Guide

Executive SummaryUpdated on Dec 2, 2024

Review summaries and opinions

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Categories and Ranking

AWS Directory Service
Ranking in Identity and Access Management as a Service (IDaaS) (IAMaaS)
18th
Average Rating
8.6
Reviews Sentiment
7.1
Number of Reviews
16
Ranking in other categories
No ranking in other categories
Microsoft Entra ID
Ranking in Identity and Access Management as a Service (IDaaS) (IAMaaS)
1st
Average Rating
8.6
Reviews Sentiment
7.0
Number of Reviews
277
Ranking in other categories
Single Sign-On (SSO) (2nd), Authentication Systems (1st), Identity Management (IM) (2nd), Access Management (1st), Microsoft Security Suite (2nd)
 

Mindshare comparison

As of August 2026, in the Identity and Access Management as a Service (IDaaS) (IAMaaS) category, the mindshare of AWS Directory Service is 1.0%, down from 1.7% compared to the previous year. The mindshare of Microsoft Entra ID is 17.3%, down from 26.0% compared to the previous year. It is calculated based on PeerSpot user engagement data.
Identity and Access Management as a Service (IDaaS) (IAMaaS) Mindshare Distribution
ProductMindshare (%)
Microsoft Entra ID17.3%
AWS Directory Service1.0%
Other81.7%
Identity and Access Management as a Service (IDaaS) (IAMaaS)
 

Featured Reviews

Akram Zaki - PeerSpot reviewer
IT Specialist at FlairsTech
Hybrid directory service has streamlined global server access and supported reliable daily operations
Some features in AWS Directory Service are not automated and are not scriptable, so they require manual work. In today's world where everything is pretty much automated and scriptable using AI, this is a downside. The price is another concern. AWS is really expensive. They provide an awesome service in general, but it's still expensive, very expensive. AD Connector is an application which connects my own Active Directory to AWS Directory Service or AWS infrastructure. There is a bit of latency which is bound by the AD Connector availability. If the AD Connector is having issues, there is a bit of latency, but in general, it's way better than Microsoft Azure. Still, it could be better. The migration was a bit challenging and required intensive planning and migration time. That is always a hassle. No matter which cloud environment you're moving into, the migration is sensitive because you're generally moving from on-premise to a cloud environment, so there is downtime and there are unexpected issues and errors. It needs very careful planning before doing the migration itself. AWS Directory Service is lacking a few things which could be better. Single sign-on federation is missing. SCIM provisioning is not available. In my company, we use other services for SSO federation, SCIM provisioning, and authentication because of these gaps. I would like AWS Directory Service to enroll a multi-factor authentication method. I would like to have an SSO federation where users, if we're hosting applications in AWS, would not need to log in to each application. Single sign-on would log in the user to their account and from there they can open all their applications without requiring a login each time. One of the other cons in AWS is that directories cannot span multiple regions because it's a region-bound architecture. This requires several directories for multi-region deployment. This is the case on my end because my company has several branches all over the world, so it requires several deployments.
Stafin Jacob - PeerSpot reviewer
Microsoft 365 Security & Compliance Practice Lead at Invoke
Identity has become our central gatekeeper and has provided secure single sign-on for all users
Microsoft Entra ID can improve by focusing more on new passwordless methods and becoming a primary adopter. One feature we would like to see is the ability to have security questions for password resets. I know the current capability is phasing out, so we do not have an alternative method yet. Customers who already use security questions require a smoother transition for that capability to be available. My experience with the deployment has had some challenges, particularly around the Microsoft MFA campaigns. The hardest part is moving users from a different MFA provider to the Microsoft MFA provider, as it ultimately depends on user activity. In large enterprises with numerous users across various geographies, this transition takes time. If there are ways to exert more control around that process, it would improve the situation.

Quotes from Members

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Pros

"AWS handles everything on the backend requiring minimal legwork from our team. We only require a dedicated database administrator while depending on Amazon for RDS."
"What we appreciate most about AWS Directory Service is the high availability."
"It's a pretty good solution in terms of performance with good availability and minimal downtime."
"Provides good performance and availability."
"This is a managed directory service (by AWS) that offers a hands-free solution for our team as we are not required to hire or train people to manage Active Directory features and high availability backups, there is no security patching required on an operating system level or Active Directory malware attack, and we are able to easily integrate other AWS services."
"The most valuable feature of AWS Directory Service is cost-cutting features."
"AWS is cost-friendly, support-friendly, and its system is 99.99% reliable."
"I would rate AWS Directory Service nine out of ten."
"We had a roadmap meeting with Microsoft a few months ago, and I know that Microsoft is working hard at listening to their customers, especially through COVID."
"The identity and access management piece is probably the most valuable to us. Since its implementation, synchronizing the identities from on-premise to Entra ID has had a positive impact. This allows us to grant access to applications based on those users and the groups they belong to."
"The way the laptops are joined is valuable. We can take advantage of that in terms of being able to log in and do things. It is easier to change passwords or set things up."
"The benefits of using this solution were realized straightaway."
"It has given us the ability to be able to establish single sign-on identities in which we can establish credentials no matter where we are, whether it is on-premises or in the cloud, in a hybrid cloud, or in an additional connection from another cloud where we share equipment or host."
"My advice for another organization considering Microsoft Entra ID is simple: if you are utilizing Microsoft Office applications and the Microsoft 365 suite, using Microsoft Entra ID as your primary identity provider is a no-brainer."
"Microsoft Entra ID acts as our core directory."
"We have seen an ROI, as we were able to secure our IT networks by more than 80%, with more than 80% of the audience subscribing to Microsoft Authenticator and using it for logging into their work accounts."
 

Cons

"Accessing the data needs improvement."
"Currently, there is no option to integrate our on-premises Cisco AWS Directory Service, requiring some manual configuration. If AWS Active Directory Service provided additional domain controller functionalities, like other on-premises Active Directory, it would be very helpful."
"We had a problem with the schema uploading and setting up the directory when we are migrating our users from on-premises to cloud infrastructure."
"I'd like to see some additional features, similar to what Azure has."
"Can be improved by including on-premises access for services through Identity Access Management."
"To get CloudWatch to monitor your memory and storage, you have to do some configuration within your server, which sometimes results in errors."
"AWS is really expensive. They provide an awesome service in general, but it's still expensive, very expensive."
"Our only complaint is that you cannot integrate your Exchange server. Or, if you are planning to install an Exchange server on your Amazon EC2 instance, then you need to configure Active Directory on EC2 instance. We would like for this limitation to be lifted."
"The downside is that we now have all our eggs in one basket with Microsoft. We have this great authentication and single sign-on, but if Microsoft has an outage in North America or globally, on Outlook or Teams, we're dead in the water... We get some type of hiccup once a quarter."
"We have experienced some downtime because of the use of the data centers."
"In terms of connecting the web application, there is technology for single sign-on. When we use it, the solution opens very slowly. It might be a bandwidth issue, and some content will not work on that portal."
"Customer service has been inconsistent for us, and we usually have to escalate issues. We typically resolve the problem before Microsoft can respond to us, so the service has not been very useful."
"Better integration with external governance products would be a welcome addition to Azure AD."
"Customers should be informed that public review features are not intended for production use."
"It doesn't function the same way as an Active Directory inside of an infrastructure, that is, a physical infrastructure. In the cloud, it is all flat. That's one of the disadvantages."
"Microsoft services and most familiar third-party applications are currently supported, but we can't find many other platforms that integrate with Office 365 or Azure Active Directory. Microsoft should develop connectors for different applications and collaborate more with other vendors to cover a broader range of applications."
 

Pricing and Cost Advice

"AWS' pricing is fair, and costs can be cut if you look carefully at when you're using it."
"The pricing depends because with AWS there are two types of directory objects: 30,000 and 500,000. It varies. AWS provides the pricing calculators so we can get an estimate from there as per the company requirement of how many users and objects that we need to create. So we can go to that portal, put in the data, and get the quotation. There are no extra licensing fees. It's all included."
"We pay an annual subscription fee."
"The pricing is reasonable."
"The solution can be cheaper."
"The licensing model is straightforward. I don't think there are any issues with the E3 license or E5 license."
"It comes free with the Microsoft account. We have a yearly agreement, and all products are covered under it."
"I'd recommend Azure Active Directory if you are a big company. For small or medium companies, it's probably not the best idea in the world because of the pricing. If you are a small company, you can probably deploy your own solutions because you're not handling a website with tons of traffic. If you are not like Adidas, Nike, or Walmart, you can do it in a way that is more localized than handling everything through a big price solution. However, Azure tends to provide you with solutions that are easier to use. If it was cheaper, I'd definitely recommend going for it."
"I do not have experience with pricing."
"We are working with the Premium P2 licenses, which are reasonable. If you invest in the on-premises environment setup, then it costs so much. However, on-prem AD gives you the ability to manage your organization in a very organized manner, where you can create a group policy."
"The subscription should be categorized by business size. For example, small companies should have a discounted price, this would help small companies and the organization to be automated."
"It's pretty good. We're using the native features. It's bundled with our Office 365 licenses. We aren't paying anything extra for Azure Active Directory. It's pretty good for us because it's complementary to Office 365. We're only paying for Office 365."
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Top Industries

By visitors reading reviews
Manufacturing Company
12%
Computer Software Company
11%
Performing Arts
9%
Government
9%
Financial Services Firm
11%
Outsourcing Company
8%
Manufacturing Company
8%
Government
7%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
By reviewers
Company SizeCount
Small Business6
Midsize Enterprise3
Large Enterprise5
By reviewers
Company SizeCount
Small Business89
Midsize Enterprise42
Large Enterprise162
 

Questions from the Community

What is your experience regarding pricing and costs for AWS Directory Service?
The pricing is very good because it is low and there is no management cost. You do not need to hire any system administrator to manage your Active Directory.
What needs improvement with AWS Directory Service?
Some features in AWS Directory Service are not automated and are not scriptable, so they require manual work. In today's world where everything is pretty much automated and scriptable using AI, thi...
What advice do you have for others considering AWS Directory Service?
I would like AWS Directory Service to enroll a multi-factor authentication method. I would like to have an SSO federation where users, if we're hosting applications in AWS, would not need to log in...
How does Duo Security compare with Microsoft Authenticator?
We switched to Duo Security for identity verification. We’d been using a competitor but got the chance to evaluate Duo for 30 days, and we could not be happier. Duo Security is easy to configure a...
What is your experience regarding pricing and costs for Azure Active Directory?
My experience with pricing, setup cost, and licensing is that going through and being able to use these things is always part of delivering an M365 bundle, so I don't think the experience is great ...
What needs improvement with Azure Active Directory?
Microsoft Entra ID can be improved by open-sourcing it. You already have Windows Subsystem for Linux, which is open-source Linux in Microsoft. One major shift for Microsoft would be using the commo...
 

Also Known As

AWS Managed Microsoft AD
Azure AD, Azure Active Directory, Azure Active Directory, Microsoft Authenticator
 

Interactive Demo

 

Overview

 

Sample Customers

Expedia, Intuit, Royal Dutch Shell, Brooks Brothers
Microsoft Entre ID is trusted by companies of all sizes and industries including Walmart, Zscaler, Uniper, Amtrak, monday.com, and more.
Find out what your peers are saying about AWS Directory Service vs. Microsoft Entra ID and other solutions. Updated: June 2026.
909,153 professionals have used our research since 2012.