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AWS Directory Service vs Microsoft Entra 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)
18th
Average Rating
8.6
Reviews Sentiment
7.1
Number of Reviews
16
Ranking in other categories
No ranking in other categories
Microsoft Entra ID
Ranking in Identity and Access Management as a Service (IDaaS) (IAMaaS)
1st
Average Rating
8.6
Reviews Sentiment
7.0
Number of Reviews
266
Ranking in other categories
Single Sign-On (SSO) (1st), Authentication Systems (1st), Identity Management (IM) (2nd), Access Management (1st), Microsoft Security Suite (2nd)
 

Mindshare comparison

As of February 2026, in the Identity and Access Management as a Service (IDaaS) (IAMaaS) category, the mindshare of AWS Directory Service is 1.1%, down from 1.9% compared to the previous year. The mindshare of Microsoft Entra ID is 18.4%, down from 29.0% compared to the previous year. It is calculated based on PeerSpot user engagement data.
Identity and Access Management as a Service (IDaaS) (IAMaaS) Market Share Distribution
ProductMarket Share (%)
Microsoft Entra ID18.4%
AWS Directory Service1.1%
Other80.5%
Identity and Access Management as a Service (IDaaS) (IAMaaS)
 

Featured Reviews

Akram Zaki - PeerSpot reviewer
IT Specialist at FlairsTech
Hybrid directory service has streamlined global server access and supported reliable daily operations
Some features in AWS Directory Service are not automated and are not scriptable, so they require manual work. In today's world where everything is pretty much automated and scriptable using AI, this is a downside. The price is another concern. AWS is really expensive. They provide an awesome service in general, but it's still expensive, very expensive. AD Connector is an application which connects my own Active Directory to AWS Directory Service or AWS infrastructure. There is a bit of latency which is bound by the AD Connector availability. If the AD Connector is having issues, there is a bit of latency, but in general, it's way better than Microsoft Azure. Still, it could be better. The migration was a bit challenging and required intensive planning and migration time. That is always a hassle. No matter which cloud environment you're moving into, the migration is sensitive because you're generally moving from on-premise to a cloud environment, so there is downtime and there are unexpected issues and errors. It needs very careful planning before doing the migration itself. AWS Directory Service is lacking a few things which could be better. Single sign-on federation is missing. SCIM provisioning is not available. In my company, we use other services for SSO federation, SCIM provisioning, and authentication because of these gaps. I would like AWS Directory Service to enroll a multi-factor authentication method. I would like to have an SSO federation where users, if we're hosting applications in AWS, would not need to log in to each application. Single sign-on would log in the user to their account and from there they can open all their applications without requiring a login each time. One of the other cons in AWS is that directories cannot span multiple regions because it's a region-bound architecture. This requires several directories for multi-region deployment. This is the case on my end because my company has several branches all over the world, so it requires several deployments.
JP
Senior Information Security Engineer at a financial services firm with 1,001-5,000 employees
Implementing seamless integration boosts secure access and supports Zero Trust
What I appreciate the most about Microsoft Entra ID is that it integrates seamlessly with all the Defender products and is easy to use. Microsoft Entra ID's integration capabilities influence our Zero Trust model by allowing us to enforce our Zero Trust model. Conditional access policies allow us to leverage Microsoft Entra ID to verify that devices signing in to our cloud services are coming from registered devices, and that people are passing all the other requirements we have in order to complete sign-on or conditional access policies. Since implementing Microsoft Entra ID, I've observed changes in the frequency and nature of identity-related security incidents. The organization already had it implemented when I arrived, and I've been working to enhance it. Better configuration of Microsoft Entra ID has allowed us to better protect our organization from threats. Having it alone isn't a solution, but ensuring proper configuration goes a long way in preventing future compromises. My company's approach to defending against token theft and nation-state attacks has evolved since implementing Microsoft Entra ID. We haven't experienced any known compromises from nation-state attacks, and implementing newer features gives me more confidence in our protection. Regarding device-bound passkeys in Microsoft Authenticator and our approach to phishing-resistant authentication, we are currently implementing Microsoft Entra ID certificate-based authentication. Adding a strong form of MFA is important as we found it to be the most cost-effective way. While other solutions might be equally or more secure, they are significantly more expensive. Having worked as an IT consultant mainly with the Microsoft stack across various industries, I have experience with different identity management solutions. Microsoft Entra ID remains the best option. The major advantages when comparing it to Okta include integration with Defender products, Defender for Identities' integration with conditional access policies, and insider threat management integration for blocking sign-ins based on risk factors. The enhancement of Microsoft Entra ID's implementation is relatively straightforward. My main concern is the occasional lack of documentation and the frequency of changes, which can make feature location challenging.

Quotes from Members

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

Pros

"The solution integrates well with other tools, particularly through single sign-on, allowing users to connect to various applications using just one password, including email."
"Two-step authentication is very useful and important."
"The most valuable feature of AWS Directory Service is cost-cutting features."
"I would rate AWS Directory Service nine out of ten."
"The support is very good. I would rate the technical support as a nine out of ten."
"Provides good performance and availability."
"The most valuable feature is that because it's all in the cloud, you don't need to manage the infrastructure."
"AWS has eliminated the downtime we waste when our on-premises resources go down."
"The most beneficial feature would be the effectiveness of having a hybrid set-up."
"The solution scales well."
"What I find most valuable about Microsoft Entra ID is centralizing identity; I don't need to worry too much about how to set up the groups, I just need to get access and assign it to the correct place, centralizing everything and making it more transparent for me while leveraging these groups and users in my applications represents the best difference."
"Single sign-on (SSO) is an example of how the features of Microsoft Entra ID have benefited my organization; we use Entra to access our laptops and applications, and single sign-on helps ensure business resiliency so that if our domains are compromised, we can still access Microsoft M365 and other services."
"The most valuable feature of Microsoft Entra ID is its security options, where we can provide highly effective security for user accounts during authentication."
"Azure Active Directory's single sign-on feature has been helpful because users don't need to authenticate again and again each time they access it. Users only need to sign in the first time, and Azure handles everything. We haven't experienced any errors or security-related issues in the past four years. Many people use our protection servers from outside, requiring multi-factor authentication. Each authentication is logged precisely."
"Azure AD allowed us to get rid of servers and other hardware running at our offices. We moved everything to the cloud. Once we set up roles and permissions, it's only a matter of adding people and removing people from different groups and letting permissions flow through."
"Microsoft Entra ID's integration capabilities influence our Zero Trust model by allowing us to enforce our Zero Trust model."
 

Cons

"We had a problem with the schema uploading and setting up the directory when we are migrating our users from on-premises to cloud infrastructure."
"Some of the security protocols are difficult to understand."
"I would like to see better integration with other business solutions."
"The solution lacks certain features."
"The AWS Directory Service should be easier to integrate."
"I've encountered challenges, particularly with Amazon WorkDocs, which is being deprecated. This has made it necessary to find an alternative document management solution that can handle editing, sharing, and workflow management for documents like Word files and PDFs."
"Accessing the data needs improvement."
"AWS Directory Service needs to improve processing."
"Microsoft Entra ID could benefit from more fine-tuned rights. It is necessary to prevent granting an application or user broad access rights."
"From time to time it takes a little bit of time to replicate, with some of the applications—something like five to 10 minutes. I know that the design is not supposed to enable real-time replication with some of the applications. But, as an administrator, I would like to run a specific change or modification in Azure Active Directory and see it replicated almost immediately."
"The product needs to improve its support."
"I think the solution can improve by making the consumption of that data easier for our customers."
"The solution could be improved when it comes to monitoring and logging as these are the most critical areas in case something was to go wrong."
"Microsoft has so many different requirements and priorities that sometimes they don't invest all their energy into the products that you have expectations to investigate."
"If Microsoft can give us a way to see where this product is running, from a backend perspective, then it would be great."
"I want better integration between Azure AD and the on-prem environment because there are currently limitations that can hamper employee experience. We use a feature called password writeback, that can be challenging to implement in a hybrid environment. Employees can change their passwords using a self-service password reset (SSPR) feature, which reflects from the cloud to the on-prem identity, but not the other way around. Currently, there is no way to reflect passwords from on-prem identities to the cloud."
 

Pricing and Cost Advice

"The pricing is reasonable."
"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."
"We pay an annual subscription fee."
"AWS' pricing is fair, and costs can be cut if you look carefully at when you're using it."
"Entra ID is not too bad, but Microsoft licensing generally is insane. Most customers normally buy a bundle license with Microsoft 365, E3, or E5. Out of our 2,000 customers, for 99.9% of our customers, the Entra ID license that they are getting through the part of that would be sufficient. There are some more advanced ones that give you a bit more functionality, but we probably have not had a customer for that. We do not even internally use that ourselves. When you buy the Entra ID license on its own, it is probably three or four pounds. You just get it included in the license."
"Azure Active Directory has a very extensive licensing model. Most of the features are available in the free and basic version, and then there are premium P1 and P2 editions. The licensing model is based on how many users you have per month. In Australia, for a P1 license, the cost is 8 dollars. With P1 and P2 licenses, you get a lot of goodies around the security side of things. For example, User Identity Protection is available only in P2. These are extra features that allow you to have a pretty good security posture, but most of the required things are available in the free and basic version."
"The E5 plan we are using contains the premium plans for Azure Active Directory. We are not paying only for the Azure Active Directory Premium licenses. We have it already included within our E5 plan."
"The price of the solution was reasonable."
"The cost of Entra ID depends entirely on our organization's specific needs and use cases."
"The subscription should be categorized by business size. For example, small companies should have a discounted price, this would help small companies and the organization to be automated."
"As a nonprofit, we have A5 licenses for nonprofits in education, so we at least have some reduced costs."
"From a pricing standpoint, with all the services that we get, we are okay. I do not see a problem with the pricing structure. We are getting our money's worth."
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Top Industries

By visitors reading reviews
Computer Software Company
13%
Performing Arts
10%
Government
9%
Manufacturing Company
8%
Financial Services Firm
11%
Computer Software Company
9%
Manufacturing Company
9%
Government
8%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
By reviewers
Company SizeCount
Small Business6
Midsize Enterprise3
Large Enterprise5
By reviewers
Company SizeCount
Small Business85
Midsize Enterprise38
Large Enterprise155
 

Questions from the Community

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?
Some features in AWS Directory Service are not automated and are not scriptable, so they require manual work. In today's world where everything is pretty much automated and scriptable using AI, thi...
What advice do you have for others considering AWS Directory Service?
I would like AWS Directory Service to enroll a multi-factor authentication method. I would like to have an SSO federation where users, if we're hosting applications in AWS, would not need to log in...
How does Duo Security compare with Microsoft Authenticator?
We switched to Duo Security for identity verification. We’d been using a competitor but got the chance to evaluate Duo for 30 days, and we could not be happier. Duo Security is easy to configure a...
What is your experience regarding pricing and costs for Azure Active Directory?
My experience with the pricing, setup costs, and licensing of Microsoft Entra ID is that it is decent.
What needs improvement with Azure Active Directory?
I think Microsoft Entra ID could be improved by assigning permissions to nested groups in the next release.
 

Also Known As

AWS Managed Microsoft AD
Azure AD, Azure Active Directory, Azure Active Directory, Microsoft Authenticator
 

Interactive Demo

 

Overview

 

Sample Customers

Expedia, Intuit, Royal Dutch Shell, Brooks Brothers
Microsoft Entre ID is trusted by companies of all sizes and industries including Walmart, Zscaler, Uniper, Amtrak, monday.com, and more.
Find out what your peers are saying about AWS Directory Service vs. Microsoft Entra ID and other solutions. Updated: December 2025.
881,733 professionals have used our research since 2012.