We detected 245 companies using Microsoft Entra External ID and 14 companies that churned. The most common industry is Software Development (11%) and the most common company size is 2-10 employees (28%). We find new customers by discovering URLs with known URL patterns through web crawling or certificate transparency logs.
Note: We also track companies using Azure B2C and companies using Microsoft 365 here
๐ Who usually uses Microsoft Entra External ID and for what use cases?
Source: Analysis of job postings that mention Microsoft Entra External ID (using the Bloomberry Jobs API)
Job titles that mention Microsoft Entra External ID
i
Based on an analysis of job titles from postings that mention Microsoft Entra External ID.
Job Title
Share
IAM Engineer/Analyst
22%
Software Engineer (Backend/Full Stack)
22%
Solutions Architect
12%
DevOps/SRE Engineer
10%
I found that Microsoft Entra External ID purchases are driven primarily by Identity and Access Management teams (22% of roles), followed closely by software engineering leaders (22%). These buyers sit within enterprise technology, cybersecurity, and digital transformation organizations at companies like Ford, General Motors, First Citizens Bank, and H&M. Their strategic priority is clear: modernizing legacy B2B and B2C identity platforms to support digital transformation initiatives. Solutions architects (12%) and technical leads (9%) also play key purchasing roles, translating business requirements into identity architecture decisions.
Day-to-day users are hands-on IAM engineers and backend developers who design authentication flows, configure custom policies, integrate APIs using OAuth 2.0 and OIDC, and build user registration and login experiences. They work extensively with Azure services, implementing SSO, MFA, Conditional Access, and federation patterns. DevOps engineers support these platforms through monitoring, incident response, and automation. I noticed these practitioners often manage both workforce identity (Entra ID) and external identity (Entra External ID) simultaneously, requiring broad platform knowledge.
The pain points revolve around migration and modernization. Companies describe moving from legacy systems with phrases like "undertaking a critical modernization initiative to migrate B2B users from on-premises identity solutions to cloud-based identity services" and "rethinking how channels connect" during "bold digital transformation." Another posting emphasizes "delivering secure, scalable, and seamless digital experiences" while ensuring "platform stability, SLA/KPI performance." These organizations need reliable customer identity platforms that improve user experience while strengthening security and enabling automation at enterprise scale.
๐ฅ What types of companies use Microsoft Entra External ID?
Source: Analysis of Linkedin bios of 245 companies that use Microsoft Entra External ID
Company Characteristics
i
Shows how much more likely Microsoft Entra External ID customers are to have each trait compared to all companies. For example, 2.0x means customers are twice as likely to have that characteristic.
Trait
Likelihood
Company Size: 1,001-5,000
14.0x
Industry: Financial Services
9.6x
Company Size: 501-1,000
8.5x
Industry: Software Development
8.4x
Industry: Technology, Information and Internet
7.6x
Country: Canada
5.3x
I noticed that Microsoft Entra External ID customers span an unusually wide operational spectrum. These aren't just tech companies. They're logistics providers moving goods across continents, utility companies delivering energy to homes, educational institutions teaching thousands of students, and manufacturing firms building everything from dental implants to construction equipment. What unites them is complexity: they manage distributed operations, serve diverse customer bases, and increasingly need to provide digital access to external users like partners, suppliers, customers, or students.
These are predominantly mature, established enterprises. The employee counts tell the story: many have 500 to 5,000+ employees, operate across multiple countries, and describe decades of history. I saw companies founded in the 1950s, 1960s, and 1980s. Several are publicly traded or have received post-IPO funding. Even the smaller organizations often describe themselves as leaders in their sectors or mention serving thousands of customers. This isn't early-stage territory.
๐ง What other technologies do Microsoft Entra External ID customers also use?
Source: Analysis of tech stacks from 245 companies that use Microsoft Entra External ID
Commonly Paired Technologies
i
Shows how much more likely Microsoft Entra External ID customers are to use each tool compared to the general population. For example, 287x means customers are 287 times more likely to use that tool.
I noticed that companies using Microsoft Entra External ID tend to be growth-stage B2B enterprises with sophisticated collaboration needs and active talent acquisition strategies. The strong presence of tools like Atlassian Cloud, GitHub Enterprise, and Lucidchart tells me these are software-focused companies building complex products that require extensive team coordination and visual planning. They're operating at a scale where enterprise-grade identity management becomes critical for both internal operations and external partner access.
The pairing of GitHub Enterprise with Microsoft Entra External ID is particularly revealing. These companies need to manage developer access across organizational boundaries, likely working with contractors, open source contributors, or partner engineering teams. Similarly, Lucidchart appearing 231 times more often suggests these organizations are doing significant architectural planning and process documentation, which makes sense when you're coordinating across multiple external stakeholders who need secure, role-based access to your systems.
The LinkedIn recruiting tools (both Promoted Jobs and LinkedIn Ads appearing at 51x and 20x respectively) alongside Go1 for learning management paint a picture of companies in aggressive hiring mode while also investing heavily in upskilling their workforce. This combination suggests they're scaling rapidly and need robust identity infrastructure to onboard employees and partners quickly while maintaining security.
Alternatives and Competitors to Microsoft Entra External ID
Explore vendors that are alternatives in this category