In today's digital world, robust identity and access management (IAM) solutions are essential for organizations of all sizes. Microsoft Entra ID, formerly Azure Active Directory, offers a comprehensive suite of IAM features to help you secure your identities and protect your data.
However, with two tiers of plans available -- P1 and P2 -- it can be challenging to determine which one is right for your specific needs. Here's a detailed comparison of Microsoft Entra ID P1 and P2 to help you make an informed decision.
Pricing
| Feature | Microsoft Entra ID P1 | Microsoft Entra ID P2 |
| Cost per user per month | $6.00 | $9.00 |
Note: You can check the updated price on the Microsoft website.
Microsoft Entra ID P1 vs P2 (Azure Active Directory P1 vs P2)
| Feature | Microsoft Entra ID P1 | Microsoft Entra ID P2 |
| End user self-service | ||
| self-service entitlement management (My Access) | Not Available | Available |
| Identity Protection | ||
| Risk-based Conditional Access (sign-in risk, user risk) | Not Available | Available |
| Authentication context (step-up authentication) | Not Available | Available |
| Device and application filters for Conditional Access | Not Available | Available |
| Token protection | Not Available | Available |
| Vulnerabilities and risky accounts | Not Available | Available |
| Risk event investigation | Not Available | Available |
| Identity governance | ||
| Basic access certifications and reviews | Not Available | Available |
| Machine learning assisted access certifications and reviews | Not Available | Available |
| Basic entitlement management | Not Available | Available |
| Entitlement management – separation of duties | Not Available | Available |
| Entitlement management with Verified ID | Not Available | Available |
| Lifecycle workflows | Not Available | Available |
| Identity governance dashboard | Not Available | Available |
| Privileged identity management (PIM) | Not Available | Available |
Key P2-Exclusive Features
The main features that differentiate P2 from P1 fall into three categories:
Identity Protection
- Risk-based Conditional Access (sign-in risk and user risk)
- Authentication context for step-up authentication
- Token protection
- Vulnerability and risky account detection
- Risk event investigation and reporting
Identity Governance
- Access certifications and reviews (including ML-assisted)
- Entitlement management with separation of duties
- Lifecycle workflows for user provisioning and deprovisioning
- Identity governance dashboard
Privileged Identity Management (PIM)
- Just-in-time privileged access to Azure AD and Azure resources
- Time-bound access assignments
- Approval workflows for role activation
- Access reviews for privileged roles
Additional Considerations
- Microsoft Entra Domain Services: P2 includes Microsoft Entra Domain Services, which allows you to manage your domain services in the cloud.
- Enterprise-grade features: P2 offers several enterprise-grade features, including risk-based Conditional Access, token protection, and vulnerabilities and risky accounts.
- Compliance: Both plans meet a variety of compliance requirements.
Which Plan Is Right for Your Organization?
If you are looking for a basic IAM solution, Microsoft Entra ID P1 is a good option. However, if you need more advanced features, such as risk-based Conditional Access, passwordless authentication, and privileged identity management, Microsoft Entra ID P2 is a better choice.
Here is a summary of the best plan for different organizations:
- Small businesses: Microsoft Entra ID P1 is a good option for small businesses that need a basic IAM solution.
- Medium-sized businesses and large enterprises: Microsoft Entra ID P2 is a good option for medium-sized businesses and large enterprises that need more advanced IAM features.
Conclusion
When deciding between Microsoft Entra ID P1 and P2 for identity and access management (IAM) solutions, the choice boils down to the specific needs of your organization. Microsoft Entra ID P1 is a cost-effective option suitable for small businesses with basic IAM requirements. In contrast, Microsoft Entra ID P2 offers advanced features, including risk-based Conditional Access, passwordless authentication, and privileged identity management, making it a better fit for medium-sized businesses and large enterprises seeking comprehensive IAM functionalities.
Consideration should also be given to additional features like Microsoft Entra Domain Services included in P2, catering to organizations managing domain services in the cloud. Both plans meet compliance requirements, ensuring organizations can select a solution aligned with their unique security and access management demands in today's digital landscape.
Frequently Asked Questions
Is Microsoft Entra ID the same as Azure Active Directory?
Yes. Microsoft rebranded Azure Active Directory (Azure AD) to Microsoft Entra ID in 2023. All the features, licensing tiers (P1 and P2), and functionality remain the same -- only the name changed.
Can I upgrade from Entra ID P1 to P2 without losing my configuration?
Yes, upgrading from P1 to P2 is seamless. All your existing configurations, Conditional Access policies, and user settings are preserved. The upgrade simply unlocks the additional P2 features like Identity Protection, PIM, and access reviews.
Do I need P2 for Conditional Access policies?
No. Basic Conditional Access policies are included with P1. However, P2 is required for risk-based Conditional Access policies that evaluate sign-in risk and user risk signals from Identity Protection.
What is Privileged Identity Management (PIM) and why does it require P2?
PIM allows organizations to provide just-in-time privileged access to Azure AD and Azure resources. Instead of permanent admin roles, users must activate their roles when needed, with time limits and approval workflows. This significantly reduces the attack surface and is exclusively available with the P2 license.
Is Microsoft Entra ID P2 included in any Microsoft 365 plans?
Microsoft Entra ID P2 is included in the Microsoft 365 E5 and EMS E5 (Enterprise Mobility + Security E5) plans. Entra ID P1 is included in Microsoft 365 E3 and EMS E3 plans.