Microsoft Entra ID Replaces Azure Active Directory

Quick Answer: Azure Active Directory, also known as Azure AD, was a Microsoft tool used by IT professionals to track people's identities. It was a way to prove that cloud users were who they claimed to be and ensure they had access to the apps, devices, and data they needed. It’s recently been replaced with Entra ID. 

Even people who don't work in IT have probably heard of Azure AD. It's easily one of the most common network tools. But late last year, Microsoft introduced a new tool: Microsoft Entra ID. 

Out of the blue, it seemed like Entra ID was replacing Azure Active Directory. But what is Microsoft Entra ID? Is it a replacement for Azure AD, or is it something else? If you use Entra ID instead of AD, are your networks and systems still secure? If you've got questions about Microsoft Entra ID and Azure Active Directory, you're not alone.

Microsoft's decision to retire Azure Active Directory and embrace Entra ID is part of a much bigger strategy—a vision for the future of identity and access management. In this blog post, we'll explain the entire process of replacing Azure AD with Entra ID and what this change means. 

What is Azure Active Directory?

Azure Active Directory, or Azure AD, is a tool created by Microsoft to help businesses manage who has access to what in the cloud. The term "Active Directory" originally refers to one of Microsoft's oldest network administration tools, an on-premise directory for managing users in a network. It dates back to 1999. 

Azure AD is cloud-based—it’s built to manage access to online resources such as Microsoft 365, cloud apps, and remote systems. Classic AD works on a local network; Azure AD is all about tools and services in the cloud.

Think of Azure AD as a magical keyring system: it automatically makes sure that the right people can get into the right places, like apps, files, or systems, while keeping everyone else out. Azure AD is all about security and convenience, helping companies protect their information while also making it easier for employees to log in and actually work. Azure AD doesn't just keep unwelcome people out–it also makes sure approved users only have access to what they need.

At its core, an active directory is about managing user identities. When someone logs on to their email or onto a company network, Azure AD verifies that they are who they claim to be. With Azure AD, one person can use one password to access multiple tools and resources, saving time and avoiding the hassle of juggling logins. Plus, Azure AD supports secure remote access, letting teams work from anywhere without compromising safety.

Professionally speaking, IT administrators, security teams, and HR departments of all sizes use Azure AD. Admins manage employee access to data, security teams use it to monitor suspicious activity, and HR teams can give new employees access to the tools and resources they need. 

What is Microsoft Entra ID?

Entra ID, formerly Azure AD, is Microsoft's cloud-based solution for managing digital identities and securing access to apps, services, and devices. Designed for modern workplaces where teams work from different locations and use cloud-based apps daily, Entra ID ensures that people have access to the tools they need and that unauthorized users don't.

Entra ID handles logins for employees, contractors, and even apps. For example, when someone signs into Microsoft 365 or a company app, Entra ID verifies their identity and gives them access. It has layers of protection and security features like multi-factor authentication, so even if someone's password gets compromised, their access remains secure.

Entra ID is all about making identity and access management seamless, secure, and scalable in today's cloud-powered world. It's used in businesses of all sizes and industries, from startups to global corporations. It simplifies onboarding and file management while keeping networks and sensitive information safe.

What's the Difference Between Azure Active Directory and Entra ID?

Now you know two things:

1. Azure Active Directory is Microsoft’s cloud-based service for managing user identities and securing access to apps, devices, and data

2. Entra ID is Microsoft’s cloud-based service for managing user identities and securing access to apps, devices, and data

Then, what's the difference between Azure AD and Entra ID? In an immediate sense, none: in July 2023, Microsoft changed the name of Azure Active Directory to Entra ID. Entra ID is the same thing that Azure Active Directory is and was. 

Microsoft had reasons for making the change, but if you're looking for the shortest and fastest answer, you have it: Microsoft renamed Azure AD to Entra ID.

Why Microsoft Renamed Azure AD to Microsoft Entra ID

Microsoft renamed Azure Active Directory to Entra ID for several reasons. The first was to simplify and unify all of its different identity and access solutions under one umbrella. Over time, Microsoft's portfolio of tools for managing identities has grown, and Azure AD was only one of its many tools designed for managing identities, permissions, and secure access.

Now that Azure AD is a part of the Entra family, it has new siblings – the other Microsoft Entra tools:

• Entra Permissions Management provides visibility and control when it comes to managing permissions across multi-cloud environments.

• Entra Verified ID lets organizations issue and verify decentralized, verifiable credentials.

• Entra ID Governance helps manage and automate identity lifecycle processes.

• Entra Workload IT secures identities for applications and services.

• Entra Internet Access protects access to the internet and SaaS apps.

• Entra Private Access secures connections to private apps and resources, including corporate networks and multi-cloud environments. 

Azure Active Directory has been rebranded as Entra ID and brought under the Entra label. Microsoft is signaling that identity management isn't just about a single product–it's part of a bigger vision for securing how we access tech in a cloud-first world. 

So yes, the name change was a sales and business-oriented choice, but it's probably not a cynical one. Cloud and multi-cloud environments are getting way more complex, and having a suite of differentiated tools is helpful for securing and navigating them.

The name change can also help clarify what Entra ID actually is and what it's capable of, relative to Microsoft's other offerings. When you see "Azure," you probably think of Microsoft's entire cloud platform. However, Azure AD's scope was much larger than just managing cloud resources. It plays a critical role in identity management across hybrid and multi-cloud environments, to say nothing of software-as-a-service apps and remote work scenarios. The rebrand emphasizes that it's about identity and access management, not just Azure management.

The rebranding also helps differentiate Microsoft's cloud-based identity tools from their on-prem offerings. It's not uncommon for Azure AD to be confused with the classic Active Directory, which is focused on local network management. Entra ID helps to draw a much clearer line between them, making it easier for businesses to choose the right tool. It also reinforces Microsoft's push toward modern, cloud-powered solutions.

Finally, maybe Microsoft renamed Azure Active Directory to avoid the dreaded "genericide". When a brand name becomes so widely associated with a type of product that it becomes the generic term for it (like "Kleenex" for tissues, "Xerox" for photocopies, "Google" for web searches, or "Velcro" for hook-and-loop fasteners), it gets called a proprietary eponym or generic trademark. 

This can reflect the brand's success. However, it can also lead to legal and business challenges when the brand loses trademark protection if the name becomes fully generic. Maybe Microsoft wanted to make sure "Azure Active Directory" didn't become the Kleenex of multi-cloud identity and access management.

How Azure AD and Entra ID are Different and the Same

Azure Active Directory and Entra ID are essentially the same product with a new name. Microsoft didn't change any of the core features, functionalities, or technical capabilities during the rebranding process. Entra ID provides the same identity and access management services as Azure AD. If you know how to use Azure AD, you know how to use Entra ID; Entra ID functions just like Azure Active Directory.

It's not accurate to call this a product rename; it was more of a rebranding, a new way of categorizing the product in their portfolio of products. Microsoft is aligning identity and access management in cloud and multi-cloud environments with their other Entra identity and access solutions. For existing users, you'll see no disruption, no need to reconfigure anything, and no new learning curve as you transition from Azure AD to Entra ID.

What Does the Entra ID Change Mean for IT Teams?

For IT teams, the name change from Azure AD to Entra ID is mostly cosmetic. Day-to-day operations shouldn't change with this rebrand. The tools, features, and functionality you expect from Azure AD will be exactly the same with Entra ID. However, you should expect to see the new name gradually appear in portals, documentation, and communications from Microsoft. The name change may require updating your own internal training materials, process guides, or just educating your team members that there's new terminology to be aware of.

Existing Active AD integrations, APIs, and configurations will continue to work with Entra ID as they always have. That said, this is a good time for IT professionals to familiarize themselves with the Microsoft Entra suite. The rebranding signals that Microsoft may soon unify the identity and access solutions in documentation, training, and/or certification. Learning how Entra ID fits into Microsoft's ecosystem is a helpful way to align your network with Microsoft's future strategies for identity management.

Microsoft Entra ID vs. Windows Server Active Directory

Entra ID and Windows Server AD serve similar purposes (keeping track of identities and access), but they're designed for different environments. Windows Server AD is an on-prem solution that's been around since the 1990s. Built for local networks, it lets teams manage access to computers, printers, file servers, and more. It's a good choice for organizations with a lot of physical IT infrastructure or who need on-prem control of legacy systems.

Entra is suited for Microsoft 365, SaaS apps, and multi-cloud environments. If your company doesn't have a substantial need for remote work, hybrid environments, or cloud-first strategies, Entra ID may be a bigger solution than you need. Unlike Windows Server AD, Entra ID doesn't require on-prem servers – it's all managed through the cloud.

When it comes to choosing between the two, administrators who support on-premises IT environments should learn Windows Server AD because it's a simpler solution that integrates well with their tech. However, businesses that have moved to the cloud or need more remote access management tend to use Entra ID. It's also possible to use both—Windows Server AD for on-prem needs and Entra ID for cloud-based. Hybrid solution tools like Azure AD Connect can help ensure you have the right tool (or combination) for your environment.

Final Thoughts: Looking Ahead with Microsoft Entra ID

If you're managing identities across different platforms, you should learn how to use Microsoft Entra ID. It's more than just a tool – it's a fully developed modern solution that makes administration work easier and systems more secure. Whether you're helping employees log in at the office, remote workers access cloud apps, or manage permissions across hybrid environments, Entra ID is built to handle it all. Entra ID boasts seamless integration across platforms and robust security features–it's a game-changer for businesses looking to simplify identity and access management.

Learning how to use Entra ID can be one of your first steps to a career as a systems administrator; it can also help you become a network administrator or even get into cybersecurity. 

CBT Nuggets training demystifies Entra ID, enables you to understand what it's capable of, and, best of all, gives you lots of practice actually using it. Check out CBT Nuggets IT training to learn more about Entra ID or any other admin tool you need to grow your career.