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

Buying snapshot

Quick buying snapshot

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.

Official pricing page
Pricing cautions
  • 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.

PlanPriceMonthly equivalent12-month license-rate estimate
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.

Client-credentials M2M authenticationAdd-on

External tenants; charged per issued token.

Global Secure Access for business guestsAdd-on

Workforce business-guest scenarios, only via Private Access.

Microsoft Entra Private Access
Governance for business guestsAdd-on

Workforce tenants only; not customer-tenant governance.

Microsoft Entra ID Governance
SMS verificationAdd-on

Per-attempt country-tier charges; linked Azure subscription required.

Branded customer registration and sign-inIncluded capability

Conditional Access and customer MFAIncluded capability

Method availability depends on primary authentication; SMS costs extra.

Federated sign-in and SSOIncluded capability

OIDC, OAuth2 and SAML app protocols; external-tenant SSO uses one sign-in domain.

Azure App Service authenticationNative integration

External ID as identity provider.

Azure App Service
Microsoft 365 guest collaborationNative integration

External ID B2B in workforce tenant.

Microsoft 365
Visual Studio Code setupNative integration

Tenant and sample-app setup.

Visual Studio Code
How the score is calculated

Scoring method

How the score is calculated

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.

WordPress Plugin Directory4.9/5
Review count
153 reviews
Evaluated scope
Add-on
Score83
Pricing modelPer-user pricing
Use 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.

View research methodology
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)
Sources checked

Sources checked

Microsoft Entra External ID source links

FAQ

Microsoft Entra External ID FAQ

Is the free allowance a trial?

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.