Azure Active Directory Packaging

A limited set of Azure Active Directory (AAD) features are free, while the Basic and Premium tiers require User Subscription Licenses (User SLs). AAD is a scalable, multitenant, Microsoft-hosted directory and identity provider service that has three tiers of service.

All three tiers of AAD support directory synchronization, federation with Windows Server AD Domain Services (AD DS) on-premises, and single sign-on (SSO) to Microsoft and third-party applications using AAD credentials.

The free tier of AAD is for small organizations requiring little or no management and a limited number of objects in AAD. Users of the free tier can self-provision up to 10 applications for use with SSO, and basic reporting is available to administrators. The free tier of AAD offers no service level agreement, although some services that use it (such as Office 365 services) do.

The Basic tier of AAD (US$1 per user, per month) adds group-based management, self-service reset of AAD user passwords, and customization of the AAD end-user interface elements for authentication and management of the apps associated with AAD.