Security & Privacy / Customer Identity and Access Management Software
Microsoft Entra External ID Review, Pricing, Pros & Cons
Microsoft Entra External ID is Microsoft's CIAM product for customer and external identity registration, authentication, authorization, access, and application sign-in experiences.
Research by Global Tool Radar Research SystemEvidence checked: Oct 7, 2026AI-assisted · No Global Tool Radar hands-on testView research methodology
A compact view of who this tool fits, what it costs, and what to confirm before choosing it.
Best for
Customer sign-in for custom apps: Use branded identity flows for consumers and business customers in an external tenant.
Guest collaboration with Microsoft 365: Use workforce-tenant B2B collaboration for partner access to Teams, SharePoint and OneDrive.
More buying conditions
Usage that varies month to month: Basic meters active users rather than every stored account, with 50,000 free MAUs.
Not for
SMS as the primary customer sign-in method: External tenants do not support SMS first-factor authentication.
Governance or application proxy inside the customer tenant: Entra ID Governance and application proxy are unavailable in external tenants; guest governance uses a workforce tenant.
More buying conditions
Deployment in Microsoft Entra US Government Cloud: External ID supports public clouds only.
Pricing
Monthly active users with a free Basic allowance and separately metered premium add-ons.
Basic: first 50,000 MAUs free; additional MAUs USD 0.03 per user per month (East US estimate).
Free or trial access
Basic has an ongoing free allowance of 50,000 MAUs, rather than a separate free edition. A 30-day external-tenant trial is available on first creation without an Azure subscription.
Product scope
Product functionality and purchase scope
CIAM for consumers and business customers in external tenants, plus B2B collaboration for external guests in workforce tenants. Basic is the core offer; premium meters have explicit tenant restrictions.
Product checked: Oct 6, 2026
Functionality reviewed
Basic customer CIAM in external tenants
External ID B2B collaboration in workforce tenants
Optional external-identity premium add-ons, subject to tenant configuration
Non-target functionality excluded from scoring
Azure AD B2C and legacy P1/P2 offers
Microsoft Entra ID workforce licenses
Entra portfolio products as included Basic entitlements
Customer-tenant ID Governance and application proxy
Pricing plans
Microsoft Entra External ID pricing table
Pricing checked: Oct 6, 2026
Official factConfidence 97%5 linked sources
Basic charges for usage above 50,000 MAUs. Linked tenants share the monthly active-user count. Premium add-ons have no free tier: SMS is USD 0.03/0.07/0.15/0.35 per attempt by country tier, M2M USD 0.001 per token and Go-Local USD 0.02 per MAU/month. Workforce-only guest Governance is USD 0.75 per MAU/month and GSA USD 2.50 per MAU/month through Entra Private Access. These East US USD estimates depend on the Azure agreement. Production billing requires a linked Azure subscription; customer and guest configurations have different entitlements.
Add-on costs below the free MAU threshold: The Basic free allowance does not cover premium add-ons. Budget separately for SMS attempts, M2M tokens, Go-Local and guest services.
Agreement-specific commercial terms: Displayed USD rates are estimates. Confirm actual charges, payment schedule, commitment and renewal conditions under the Azure agreement.
Regional setup and SMS continuity: Choose Go-Local at tenant creation in Australia or Japan. SMS needs a linked subscription; cancellation can block sign-in when the MFA policy depends on SMS.
Native authentication implementation: A custom sign-in interface requires more application development and shared security responsibility.
PlanPriceBest for
Basic
Free · per Monthly Active User · First 50,000 MAUs free · First 50,000 monthly active users of Basic
$0.03 USD · per Monthly Active User · per month · Basic usage above 50,000 MAUs · usage based · Basic usage beyond the first 50,000 monthly active users
Customer applications and business-guest collaboration with metered active-user demand.
License calculator
License cost scenarios
Adjust the license quantity to compare public recurring rates across the available plans.
BasicBasic usage above 50,000 MAUs · usage_based$0.03 USD / Monthly Active User / month$0.15 USD$1.80 USD
License-rate calculation only. It excludes implementation, migration, training, support, taxes, add-ons, usage charges, and negotiated discounts unless they are explicitly included in the displayed public rate.
Variable usage cost
Usage cost scenarios
Calculate additional usage only where the plan allowance, unit, and period are established. Published rates are shown separately when an estimate is not available.
Basic MAUs above the free allowance
$0.03 USD / Monthly Active User
PlanIncluded allowanceEstimated extra costVariable usage cost
Basic50,000 Monthly Active User / month$0.00 USD$0.03 USD / Monthly Active User
Phone Authentication Low Cost
$0.03 USD / SMS phone verification attempt
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
Phone Authentication Mid Low Cost
$0.07 USD / SMS phone verification attempt
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
Phone Authentication Mid High Cost
$0.15 USD / SMS phone verification attempt
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
Phone Authentication High Cost
$0.35 USD / SMS phone verification attempt
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
M2M Authentication
$0.00 USD / Token
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
Go-Local Add-on
$0.02 USD / Monthly Active User
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
ID Gov for Guests
$0.75 USD / Monthly Active User
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
GSA for Guests
$2.50 USD / Monthly Active User
Published rate only. The plan allowance, matching unit, or billing period is not fully established, so extra cost cannot be calculated. An unknown allowance is not zero. Check the base subscription and any required products separately.
This calculation compares usage with the published allowance on the same unit and period basis. It excludes taxes, negotiated terms, and unverified packaging conditions.
What is included, connected, or sold separately
Product scope
What is included, connected, or sold separately
Material capabilities are separated by their verified relationship to the target product.
Australia/Japan data residencyAdd-on
External tenants; selected at creation and charged per MAU.
The score uses the category-specific buying dimensions below and their displayed weights.
This page is based on public product information, official sources, structured feature data, and AI assessment. It is not a hands-on lab test unless explicitly stated. Confidence percentages describe our research indicators, not the probability that a claim is true or a measured accuracy rate.
Evidence confidence
85%
AI claim confidence
98%
Required-field evidence status
100%
Evidence freshness
100%
Field traceability
100%
Model agreement
83%
Why this confidence level
Evidence confidence uses source level and claim-to-source support; AI claim confidence is shown separately.
Required-field evidence status measures whether weighted required claims have evidence links; it does not mean every product behavior was independently verified.
8 of 8 weighted claims have evidence links.
8 A1 documentary official sources and 1 A2 official product sources are linked.
0 independent review sources are retained, including 0 professional sources with an explicit hands-on method.
No weighted claim is past the review window.
No blocking evidence conflict was identified.
Customer authentication experience30%
87
Branded registration and sign-in plus OIDC, OAuth 2.0 and SAML federation cover the documented customer authentication paths; teams using SMS should pair it with another primary factor because SMS is limited to MFA.
Customer auth policy security20%
88
Conditional Access and multifactor authentication support customer access policies, while SMS is an add-on for MFA rather than a first factor; buyers should select controls that match their sign-in policy.
Customer profile and identity control20%
76
Customer registration and REST authentication extensions support identity workflows that call application-defined business logic, while teams should map their profile and account-linking needs to the application design.
Consent and privacy readiness15%
78
Go-Local offers exclusive data storage in Australia or Japan for external tenants, with the region fixed at tenant creation; buyers should settle residency needs before provisioning and confirm their consent obligations.
Scale and developer fit15%
82
REST authentication extensions and listed Azure App Service and Visual Studio Code integrations provide defined application connection paths, while linked tenants share MAU counts for billing; teams should validate capacity and usage forecasts against their deployment design.
Marketplace app signals
Marketplace app signals
These source-reported ratings describe a specific marketplace listing, integration, mobile app, or add-on. They do not automatically represent the complete software product.
Score83Pricing modelPer-user pricingUse caseSingle sign-on and MFA, Customer identity and consent
Structured tags
Microsoft Entra External ID tag profile
Pricing model
Per-user pricing
Business function
Identity and access teams
Use case
Single sign-on and MFA
Customer identity and consent
Compliance requirement
Data residency
Key features
Microsoft Entra External ID core capabilities
Branded registration and sign-in
Conditional Access and multifactor authentication
Federation and single sign-on
REST authentication extensions
Business-guest B2B collaboration
Optional M2M authentication and Go-Local residency
Detailed strengths and purchase cautions
Pros
Why it is worth considering
External ID supports branded registration and sign-in with federation through OIDC, OAuth 2.0 and SAML, giving application teams defined customer authentication paths.
Conditional Access and multifactor authentication provide customer access controls, while REST authentication extensions let teams connect sign-in events to their own business logic.
Basic includes the first 50,000 monthly active users at no cost, with usage above that allowance billed by MAU
this gives buyers a clear usage-based starting model.
Cons
What to confirm before buying
Premium add-ons are billed separately even when Basic usage remains within its free MAU allowance, so buyers should model SMS, M2M, Go-Local and guest-service charges independently.
SMS is not available as a first-factor sign-in method in external tenants
teams requiring SMS-only primary authentication need a different sign-in design.
Go-Local region selection is made when the external tenant is created and cannot later be changed, so residency decisions need to precede provisioning.
AI buying perspectives
AI assessment
AI buying perspectives
The assessments below use the same buying criteria. Review their scores, confidence, fit, cautions, and conclusions alongside the sources.
AI assessment updated: Nov 1, 2026
Score comparisonGPTRange
Customer authentication experience870
Customer auth policy security880
Customer profile and identity control760
Consent and privacy readiness780
Scale and developer fit820
GPTAI-assisted buyer perspective82
Microsoft Entra External ID fits teams embedding branded registration and authentication in customer apps, with usage-based MAU billing and separate add-ons to check; choose authentication methods, tenant type and residency settings before deployment.
Review confidence
83/100
Model details
Strengths
External ID supports branded registration and sign-in with federation through OIDC, OAuth 2.0 and SAML, giving application teams defined customer authentication paths.
Conditional Access and multifactor authentication provide customer access controls, while REST authentication extensions let teams connect sign-in events to their own business logic.
Basic includes the first 50,000 monthly active users at no cost, with usage above that allowance billed by MAU
this gives buyers a clear usage-based starting model.
Cautions
Premium add-ons are billed separately even when Basic usage remains within its free MAU allowance, so buyers should model SMS, M2M, Go-Local and guest-service charges independently.
SMS is not available as a first-factor sign-in method in external tenants
teams requiring SMS-only primary authentication need a different sign-in design.
Go-Local region selection is made when the external tenant is created and cannot later be changed, so residency decisions need to precede provisioning.
Research transparency
How this page was researched
A compact record of the evidence used, what was not tested, and which conclusions still need verification.
Official sources
9
Broad product review sources
0
Marketplace and app-store sources
1
Editorial sources
0
Latest evidence check
Oct 7, 2026
Research basis
Global Tool Radar generated this assessment from structured facts linked to public sources. No Global Tool Radar hands-on test is recorded in this page's research data. Any external hands-on assessment is identified separately and does not affect the Global Tool Radar score.
Conflict handling
Unresolved evidence is disclosed on the page; affected deterministic calculations and price schema are withheld when the conflict is blocking.
Verified findingsBasic has an ongoing free allowance of 50,000 MAUs, rather than a separate free edition. A 30-day external-tenant trial is available on first creation without an Azure subscription.
Monthly active users with a free Basic allowance and separately metered premium add-ons.
Branded registration and sign-in
Conditional Access and multifactor authentication
Federation and single sign-on
REST authentication extensions
Business-guest B2B collaboration
Optional M2M authentication and Go-Local residency
Azure App Service and Visual Studio Code integration
Basic: first 50,000 MAUs free; additional MAUs USD 0.03 per user per month (East US estimate).
Basic charges for usage above 50,000 MAUs. Linked tenants share the monthly active-user count. Premium add-ons have no free tier: SMS is USD 0.03/0.07/0.15/0.35 per attempt by country tier, M2M USD 0.001 per token and Go-Local USD 0.02 per MAU/month. Workforce-only guest Governance is USD 0.75 per MAU/month and GSA USD 2.50 per MAU/month through Entra Private Access. These East US USD estimates depend on the Azure agreement. Production billing requires a linked Azure subscription; customer and guest configurations have different entitlements.
Verification notes and unresolved itemsThe supplied facts do not establish profile-management depth, progressive profiling, consent-preference controls, or performance and reliability under traffic spikes. Validate those requirements in the intended application design
the East US price figures are estimates and actual commercial terms depend on the Azure agreement.
Research date 2026-10-06
original documentation dates retained in sources.
Dynamic pricing captured in the browser at East US with USD and English (United States)
No. Basic includes 50,000 monthly active users at no cost. The optional first-tenant evaluation lasts 30 days and does not need an Azure subscription.
Are add-ons free below 50,000 MAUs?
No. SMS, M2M, Go-Local and guest add-ons are billed separately.
Which tenant configuration should I use?
External tenants support customer applications. Workforce tenants support business-guest collaboration; guest Governance and GSA do not apply to customer tenants.
Can customers sign in using SMS alone?
No. SMS is not a first-factor sign-in method in external tenants; it is available for MFA at additional cost.
Can I keep customer identity data in Australia or Japan?
Yes, select the Go-Local add-on when creating the external tenant. It incurs an additional MAU charge.
Popular comparisons
Common Microsoft Entra External ID comparisons
Only high-scoring and nearby tools from the same subcategory are shown, avoiding comparisons between unrelated use cases.