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Microsoft Entra External ID vs Microsoft Entra ID Protection comparison

 

Comparison Buyer's Guide

Executive Summary

Review summaries and opinions

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

ROI

Sentiment score
3.6
Users faced challenges with Microsoft Entra External ID but saved costs and time compared to traditional, on-premises solutions.
Sentiment score
5.4
Microsoft Entra ID Protection offers full ROI in three years, with immediate efficiency, satisfaction, and time-saving benefits.
It has led to cost savings as well as time savings because I can use a single solution for all applications.
Companies can leverage it for setting up external identities without needing to develop their own solutions.
In terms of return on investment, prior to using this product, our company managed our own mail server with all internal authentication happening on premises, resulting in a ROI in the thousands every year.
There is a return on investment in terms of time-saving, control, and ease of manageability of the environment.
 

Customer Service

Sentiment score
4.6
Microsoft Entra External ID support varies; response times, documentation, and regional differences affect user satisfaction and solution accessibility.
Sentiment score
6.3
Microsoft Entra ID Protection support receives mixed reviews, with varied satisfaction based on response times, support quality, and subscription level.
Companies without a Microsoft license for Entra ID or Azure portal cannot add Azure AD B2C, creating logistical issues for some of my clients who are unable to evaluate the platform.
The support for business applications, infrastructure support, and Entra has been mostly positive with highly skilled technicians.
The documentation is very thorough, reducing the need for support.
They often refer to internal blogs, which doesn't offer much new information and can limit our capabilities in troubleshooting.
Tickets often bounce from person to person, requiring the sharing of information multiple times.
The response time can be affected based on the type of Azure subscription tier.
 

Scalability Issues

Sentiment score
6.0
Microsoft Entra External ID offers scalable security for large enterprises, with distinct policies and strong performance despite some latency issues.
Sentiment score
8.0
Microsoft Entra ID Protection effortlessly scales with customer needs, supported by licenses and cloud-native features, ensuring minimal scaling issues.
This is one of EID's weak points compared to Azure AD B2C, which offers customizable authentication options, including attribute and password combinations.
End-user workloads experience increased latency in a cloud environment compared to on-premises resources.
Microsoft Entra External ID is quite scalable, and I would rate its scalability between eight and nine out of ten.
Since it is a cloud computing product, it can accommodate a range of company sizes, from a few users to large businesses.
There are no issues with scalability up to your license limitations.
 

Stability Issues

Sentiment score
4.8
Microsoft Entra External ID is highly stable, reliable, and smooth, with minor rare issues, and positive user feedback.
Sentiment score
7.6
Microsoft Entra ID Protection is reliable, with occasional minor issues, but overall supports large-scale implementations smoothly.
I'd rate the stability of the Microsoft Entra External ID as a 10.
The stability of this solution is very good.
I have not encountered any stability issues with Microsoft Entra External ID.
 

Room For Improvement

Microsoft Entra External ID needs improved support, integration, pricing, security, UI, and customization for medium-sized businesses.
Microsoft Entra ID Protection requires enhancements in identity management, scalability, documentation, pricing clarity, and third-party integration.
This is particularly challenging during enterprise agreement renewals, as it's difficult for customers to review costs leading to lengthy negotiations.
Enhanced customizable login options and the ability to use attribute password logins are critical features that are required for Microsoft Entra External ID to gain dominance in the authentication market.
I would like to see a more detailed alert system that provides a summary of why alerts are generated, who is generating them, and the reasons behind it.
If there was some level of backup mechanism available with quick restore functionality, that would be beneficial.
Microsoft has not offered control over how they calculate high or low-risk scenarios.
There is no write-back feature from the cloud to local, which would allow me to use my own credentials from the cloud tenant securely.
 

Setup Cost

Microsoft Entra External ID pricing is complex, potentially costly, but scalable, benefiting from Azure expertise and existing subscriptions.
Microsoft Entra ID Protection's pricing is competitive but confusing, with added value for enterprises using Azure subscriptions.
Regarding pricing, the cost seems high for single sign-on, especially for external applications like Oracle.
Microsoft's pricing is complex and difficult to fathom due to a range of different licensing options.
The cost can be a factor for Microsoft Entra External ID, but in general, it offers a scalable and efficient solution compared to deploying individual solutions.
Entra ID Protection is not badly priced, but some clients, especially in medium to smaller scale companies in third-world countries, find it quite expensive.
Microsoft Entra ID requires additional licensing components.
The pricing for Microsoft Entra ID protection is not expensive.
 

Valuable Features

Microsoft Entra External ID enhances security, management, and user experience through integration, single sign-on, and adaptive authentication features.
Microsoft Entra ID Protection enhances security with multifactor authentication, seamless Azure integration, and advanced threat detection for businesses.
It is crucial for hybrid environments, especially for integrating existing on-site infrastructures with cloud-based Active Directory, such as in Office 365 implementations.
EID unifies workforce users with external business partners, which is a very strong feature.
The detailed monitoring and reporting in Microsoft Entra External ID support compliance efforts effectively.
Having a single sign-on feature with Entra ID ensures seamless access to various applications, even those with significant security constraints.
These features ease the job of security analysts, providing a better vision of user activities and potential risks.
We use automated remediation for logon purposes and error purposes. It remediates issues and provides just-in-time access when applicable.
 

Categories and Ranking

Microsoft Entra External ID
Ranking in Microsoft Security Suite
21st
Average Rating
7.6
Reviews Sentiment
5.5
Number of Reviews
16
Ranking in other categories
Identity and Access Management as a Service (IDaaS) (IAMaaS) (8th), Customer Identity and Access Management (CIAM) (4th)
Microsoft Entra ID Protection
Ranking in Microsoft Security Suite
9th
Average Rating
8.6
Reviews Sentiment
7.0
Number of Reviews
19
Ranking in other categories
Identity Management (IM) (6th), Identity Threat Detection and Response (ITDR) (1st)
 

Mindshare comparison

As of October 2025, in the Microsoft Security Suite category, the mindshare of Microsoft Entra External ID is 1.3%, up from 0.3% compared to the previous year. The mindshare of Microsoft Entra ID Protection is 3.5%, down from 5.1% compared to the previous year. It is calculated based on PeerSpot user engagement data.
Microsoft Security Suite Market Share Distribution
ProductMarket Share (%)
Microsoft Entra ID Protection3.5%
Microsoft Entra External ID1.3%
Other95.2%
Microsoft Security Suite
 

Featured Reviews

Suresh Kumar Subramaniyan - PeerSpot reviewer
Has supported secure access but still lacks full coverage for external identity challenges
The user experience is acceptable, but Microsoft Entra External ID is not a full-fledged IGA solution. We use different products for complete Identity Governance Administration. Microsoft Entra External ID is suitable for small-scale enterprises implementing identity lifecycle management since most have Active Directory. However, there are several challenges. The out-of-the-box connector has limited features for applications, requiring us to build scheme connectors. While small-scale enterprises can benefit from Microsoft Entra External ID's Identity Governance solution, large-scale enterprises might need different tools from leading market vendors such as SailPoint or Saviynt. Customers face particular challenges with contractor and B2B accounts. Microsoft Entra External ID isn't a complete cloud-based account solution, as it must handle internal employees and collaborate with internal Active Directory. There are delays in the identity lifecycle process, especially for contract partners during onboarding and off-boarding. This might be due to back-end syncing with Active Directory. B2B account removal and provisioning take considerable time. Access governance, particularly access certification for guest users, is time-consuming. Multi-factor authentication enforcement also presents challenges for external users.
Ankit Gupta. - PeerSpot reviewer
Comprehensive identity management enhances security and access controls with advanced integration
The monitoring from Microsoft Entra ID Protection provides great visibility at a granular level. It provides all the details, including IP address, username, and permission or error logs. This information is available in both the audit log and regular log. The alert functionality supports general day-to-day monitoring and any violation or trigger for errors. Microsoft Entra ID Protection's features are suitable for all sizes of companies. It's a must-have product because traditionally Active Directory was used for identity and authentication on computers. Now, with hybrid capabilities, every company of any size needs these features and tools. I rate Microsoft Entra ID Protection ten out of ten.
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Top Industries

By visitors reading reviews
Computer Software Company
17%
Financial Services Firm
11%
Manufacturing Company
9%
Government
7%
Computer Software Company
17%
Financial Services Firm
13%
Manufacturing Company
9%
Government
8%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
By reviewers
Company SizeCount
Small Business8
Midsize Enterprise2
Large Enterprise6
By reviewers
Company SizeCount
Small Business14
Midsize Enterprise1
Large Enterprise4
 

Questions from the Community

What is your experience regarding pricing and costs for Microsoft Entra External ID?
The only problem that you might face with Microsoft now is their complex licensing model.
What needs improvement with Microsoft Entra External ID?
For the last four or five years, I have been in an IT manager function, focusing on making things happen and having technical persons execute tasks. In the last three months, I have transitioned to...
What is your primary use case for Microsoft Entra External ID?
I am looking for a new solution and investigating existing products. We are already working with Microsoft Intune and SOTI. I have been working in the past with a Kaseya product, specifically Datto...
What is your experience regarding pricing and costs for Azure Active Directory Identity Protection?
The pricing for Microsoft Entra ID protection is not expensive. It varies based on the company's size and quality.
What needs improvement with Azure Active Directory Identity Protection?
A potential area of improvement in Microsoft Entra ID Protection could include backup-level capability or snapshot capability. Currently, we are required to use third-party backups for the overall ...
 

Also Known As

Azure Active Directory External Identities
Azure Active Directory Identity Protection, Azure AD Identity Protection
 

Overview

Find out what your peers are saying about Microsoft Entra External ID vs. Microsoft Entra ID Protection and other solutions. Updated: September 2025.
869,513 professionals have used our research since 2012.