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What is Microsoft Entra (formerly Azure Active Directory)?

Microsoft Entra, formerly Azure Active Directory, controls who has access to your Microsoft 365 environment. Learn what Entra is, what it can do, and how to use it effectively.

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October 5, 2026

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5-minute read

If you use Microsoft 365, you’re probably already using Microsoft Entra—perhaps without even realizing it. Every time an employee signs in to Outlook, Teams, or SharePoint, Microsoft Entra determines who has access. You may still know it by its old name, Azure Active Directory. In this article, you’ll learn what Microsoft Entra is, what it can do, and how to use it effectively for your organization.

What is Microsoft Entra?

Microsoft Entra is Microsoft’s umbrella term for all identity and access solutions. It determines who you are (identity) and what you’re allowed to access (access). This includes sign-ins, passwords, two-step verification, devices, and access to apps and files.

At the heart of Microsoft Entra is Microsoft Entra ID: the cloud service that houses all your users, groups, and devices. Every Microsoft 365 environment runs on Entra ID.

From Azure Active Directory to Microsoft Entra ID

For a long time, this service was called Azure Active Directory, often abbreviated as Azure AD. In 2023, Microsoft renamed Azure Active Directory to Microsoft Entra ID. Only the name has changed: the functionality, your existing accounts, and your settings will continue to work just as they did before. If you still come across “Azure AD” in documentation or in your management environment, it refers to the same thing.

Note the difference from the traditional Active Directory on your own Windows server. Entra ID is Microsoft's cloud service; the two can, however, be linked together.

What can you do with Microsoft Entra?

One account for all your apps (single sign-on)

With single sign-on, employees log in once using their work account and gain access to Microsoft 365 as well as other linked (cloud) applications. Fewer passwords mean less hassle and less risk.

Two-Step Verification (MFA)

With multi-factor authentication, a password alone is no longer enough to log in. For example, employees confirm their login using the Microsoft Authenticator app. This is one of the most effective measures against hacked accounts.

Conditional Access

With Conditional Access, you can set rules such as: allowing logins only from managed devices, requiring additional verification for logins from outside the country, or blocking outdated login methods. This feature is part of Microsoft Entra ID P1, which is included in Microsoft 365 Business Premium, among other plans.

Manage Users, Groups, and Permissions

New employee? Create an account, add them to the appropriate groups, and they'll have immediate access to the right Teams, folders, and apps. If someone leaves, you can revoke all access with a single click.

Reset Your Password Yourself

With password self-service, employees can reset a forgotten password on their own, without you or your IT partner having to do anything.

Connecting and Securing Devices

You can register laptops and phones in Entra ID. When used with Microsoft Intune (part of Business Premium), you can centrally manage and secure those devices.

Collaborating with External Parties

Grant customers, suppliers, or freelancers controlled guest access—for example, to a specific Team or a shared folder—without requiring them to have a full account with your organization.

The Microsoft Entra Family at a Glance

Component What is it for?
Microsoft Entra ID Identities, sign-in, MFA, single sign-on, and conditional access (formerly Azure AD)
Microsoft Entra ID Governance Management of access rights throughout the entire employee lifecycle
Microsoft Entra External ID Login for Customers and External Partners
Microsoft Entra Verified ID Digitally Verifiable Identification Documents
Microsoft Entra Private and Internet Access Secure access to internal apps and the Internet, as a modern alternative to a traditional VPN

For most small and medium-sized businesses, Microsoft Entra ID is the most important component. It’s included by default in every Microsoft 365 subscription.

Which Entra features are included in which Microsoft 365 plan?

  • Microsoft 365 Business Basic and Business Standard: include the free version of Entra ID, with user and group management, single sign-on, and basic security features such as two-step verification through the default security settings.
  • Microsoft 365 Business Premium: includes Microsoft Entra ID P1, which features conditional access and more advanced security capabilities, plus Microsoft Intune for device management.

Not sure which plan is right for your organization? Compare the plans or ask us for advice.

How to Get Started with Microsoft Entra

  1. Open the Microsoft Entra admin center at entra.microsoft.com and sign in with an administrator account from your Microsoft 365 environment.
  2. Enable two-step verification for all users, for example, through the default security settings or, with Business Premium, through a conditional access policy.
  3. Set up groups by department or team so you don't have to manage permissions on an individual basis.
  4. Connect your most important apps via single sign-on so that employees can log in using their work accounts.
  5. Enable self-service password reset to reduce support requests.
  6. Regularly check the login logs for suspicious login attempts.

How Minty Hosting Can Help You

Minty Hosting is a Microsoft Partner and has already helped hundreds of customers with their Microsoft 365 licenses. We’ll help you choose the right plan, set up your Microsoft 365 environment, and securely configure Microsoft Entra—from two-step verification to the correct DNS settings for your email. Check out our plans:

Would you like to add an extra layer of protection to your Microsoft 365 data? Then check out our Microsoft 365 backups. Questions? Call us at 023 230 5815 or email us at support@mintyhosting.nl.

Frequently Asked Questions

What is the difference between Azure Active Directory and Microsoft Entra ID?

There is no functional difference. Microsoft renamed Azure Active Directory to Microsoft Entra ID in 2023. Your accounts, settings, and licenses will continue to work just as they did before.

Do I need Microsoft Entra if I use Microsoft 365?

You're already using it. Every Microsoft 365 environment runs on Microsoft Entra ID, which handles your employees' sign-in and access.

Is Microsoft Entra ID free?

The basic version of Entra ID is included in every Microsoft 365 subscription. More advanced features, such as conditional access, are part of Entra ID P1, which is included in Microsoft 365 Business Premium, among other plans.

Where do I manage Microsoft Entra?

You manage Microsoft Entra through the Microsoft Entra admin center at entra.microsoft.com. Many basic user settings are also available in the Microsoft 365 admin center.

Can Minty Hosting set up Microsoft Entra for us?

Yes. As a Microsoft Partner, we'll help you choose the right Microsoft 365 licenses and securely set up your environment, including two-step verification and user management.

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