What is Azure Active Directory? Azure Active Directory is Microsoft’s multi-tenant, cloud-based directory and identity management service. For an organization, Azure AD helps employees sign up to multiple services and access them anywhere over the cloud with a single set of login credentials. Azure Active Directory Concept: It is important to understand these Azure AD concepts. Identity . An object that can get authenticated. An identity can be a user with a username and password. Account . An identity that has data associated with it. You can't have an account without an identity. Azure subscription . Used to pay for Azure cloud services. You can have many subscriptions and they're linked to a credit card. Azure tenant/directory . A dedicated and trusted instance of Azure AD, a Tenant is automatically created when your organization signs up for a Microsoft cloud service subscription. More instances of Azure AD can be created. Azure AD is the underlying product ...