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AWS Directory Service vs Microsoft Entra External 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)
17th
Average Rating
8.6
Reviews Sentiment
7.3
Number of Reviews
15
Ranking in other categories
No ranking in other categories
Microsoft Entra External ID
Ranking in Identity and Access Management as a Service (IDaaS) (IAMaaS)
10th
Average Rating
7.6
Reviews Sentiment
6.3
Number of Reviews
11
Ranking in other categories
Customer Identity and Access Management (CIAM) (5th), Microsoft Security Suite (21st)
 

Mindshare comparison

As of July 2025, in the Identity and Access Management as a Service (IDaaS) (IAMaaS) category, the mindshare of AWS Directory Service is 1.6%, down from 2.1% compared to the previous year. The mindshare of Microsoft Entra External ID is 1.9%, up from 1.2% compared to the previous year. It is calculated based on PeerSpot user engagement data.
Identity and Access Management as a Service (IDaaS) (IAMaaS)
 

Featured Reviews

MassimilianoCollavo - PeerSpot reviewer
Integrates well with other tools, particularly through single sign-on
I've been working with AWS Directory Service as part of a broader solution for moving our infrastructure to a hybrid cloud model. Initially, the goal was to replicate our on-premises server to the cloud and then eventually shut down the on-premises server entirely. My work with AWS Directory Service is focused on migrating to the cloud and finding a suitable document management system that allows for online editing, document sharing, and workflow management. I rate it an eight out of ten.
Corrado Vigano - PeerSpot reviewer
Solution integrates well with existing systems while being easy to use
The fact that it is quite integrated into the entire Microsoft environment makes it quite easy to use. Furthermore, Microsoft's reliability in providing a clear roadmap for the solution is very important, especially at a time when cybersecurity is a risk in every company. The solution is easy to reuse and not difficult to find expertise for in the market because it is widespread. It is gaining attention even from partners and from the market on the offering side. This serves as a good starting point for customers who can develop internal competence on the solution. Additionally, the presence of reliable partners who know the solution and can provide internal knowledge is the best aspect for them.

Quotes from Members

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

Pros

"We can provide specific access to people based on what they need from our accounts."
"I would rate AWS Directory Service nine out of ten."
"Two-step authentication is very useful and important."
"The most valuable feature of AWS Directory Service is cost-cutting features."
"The pricing is very good because it is low and there is no management cost."
"The most valuable feature is ease of use."
"We like the fact that it's got such great redundancy."
"The support is very good. I would rate the technical support as a nine out of ten."
"The fact that it is quite integrated into the entire Microsoft environment makes it quite easy to use."
"I have not encountered any stability issues with Microsoft Entra External ID."
"Primarily Microsoft Entra External ID SSO is valuable as it works with everything when it comes to integration."
"The fact that it is quite integrated into the entire Microsoft environment makes it quite easy to use."
"It's quite easy to manage and monitor."
"It's similar to using a Microsoft account to create accounts on other websites. We are also using Microsoft Entra to monitor which applications our guests are using. This allows us to filter, block, or adjust permissions for these applications as needed for our collaborators."
"The most valuable feature for me is the firewall capabilities."
"The best features of Microsoft Entra External ID include its unification of B2C functionality and B2E features."
 

Cons

"Currently, there is no option to integrate our on-premises Cisco AWS Directory Service, requiring some manual configuration."
"The group policy can be improved."
"Accessing the data needs improvement."
"AWS could improve the number of regions. Azure has passed them. The ned more consistency, as far as the Northeast is concerned."
"Some of the security protocols are difficult to understand."
"I would like to grant partial access to a table contained in a database without having to provide full access to the whole database."
"The solution lacks certain features."
"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."
"The cost is very high."
"Single sign-on for external applications such as Oracle could be improved to be a little bit cheaper."
"A common concern among the customers I visit is the unpredictability of Microsoft's costs at every renewal. This is really bothersome for the customer, and I would say it is the worst element I have seen in these years."
"The problem with Microsoft products is that they often cater to enterprise-level needs, which can be too costly for medium-sized businesses."
"There is room for improvement in AI technology for Microsoft Entra External ID, particularly in providing detailed alerts."
"I generally find Microsoft solutions expensive, especially in specific offerings."
"The authentication methods available are very limited, and this presents a weak point."
"Technical support needs improvement."
 

Pricing and Cost Advice

"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."
"AWS' pricing is fair, and costs can be cut if you look carefully at when you're using it."
"We pay an annual subscription fee."
"The pricing is reasonable."
"We don't pay separately for Microsoft Entra External ID as it's part of our Microsoft Exchange subscription."
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Top Industries

By visitors reading reviews
Computer Software Company
17%
Financial Services Firm
10%
Healthcare Company
8%
Manufacturing Company
7%
Computer Software Company
17%
Manufacturing Company
11%
Financial Services Firm
11%
Government
8%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
 

Questions from the Community

What do you like most about AWS Directory Service?
The most valuable feature of AWS Directory Service is cost-cutting features.
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?
Accessing the data needs improvement. Additionally, integration and compatibility with other AWS ( /products/amazon-aws-reviews ) services, network open LDAP, support for on-premise and cloud envir...
What is your experience regarding pricing and costs for Microsoft Entra External ID?
The cost totally depends on Azure's pricing structure. If you have sufficient background knowledge about the features and functionality, it can be cost-effective. However, if you need support or as...
What needs improvement with Microsoft Entra External ID?
Integration could be improved when it comes to legacy tools.The support engineers are not as skilled as our engineers. When they say something would not work, or there is no solution, we usually he...
What is your primary use case for Microsoft Entra External ID?
Currently we use some of the AWS ( /products/amazon-aws-reviews ) solutions and Google Solutions and few of Alibaba Cloud ( /products/alibaba-cloud-reviews ). That totally depends on time to time a...
 

Also Known As

AWS Managed Microsoft AD
Azure Active Directory External Identities
 

Overview

 

Sample Customers

Expedia, Intuit, Royal Dutch Shell, Brooks Brothers
Information Not Available
Find out what your peers are saying about AWS Directory Service vs. Microsoft Entra External ID and other solutions. Updated: June 2025.
860,592 professionals have used our research since 2012.