SC-900 Describe the capabilities of Microsoft Entra Practice Question
A company wants to offer a secure sign-in experience for external customers who may use personal accounts from Facebook, Google, or any OpenID Connect provider. They also need to customize the sign-in pages with their company logo and colors. Which Microsoft Entra capability should they use?
⚠ Common exam trap
Watch out — candidates often confuse Microsoft Entra External ID with the free edition of Microsoft Entra ID, assuming that 'free' includes external identity support, but the free edition is strictly for internal users and lacks social identity federation and UI customization capabilities.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Microsoft Entra External ID (formerly Microsoft Entra ID B2C)
Microsoft Entra External ID (formerly Azure AD B2C) is the correct choice because it is specifically designed for customer-facing identity scenarios, supporting social identity providers (Facebook, Google) and any OpenID Connect provider. It also provides full customization of sign-in pages, including company branding like logos and colors, which is not available in the free edition of Microsoft Entra ID.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Microsoft Entra ID (formerly Microsoft Entra ID) — free edition
Why it's wrong here
Microsoft Entra ID (Free) is fundamentally designed for managing internal workforce identities, such as employees and business partners, within an organization's tenant. While it provides core identity and access management capabilities, it lacks the specialized features essential for consumer-facing applications. Specifically, it does not support integration with social identity providers like Google or Facebook, nor does it offer the extensive user interface customization required to deliver a seamless, branded sign-up and sign-in experience for external customers.
- ✓
Microsoft Entra External ID (formerly Microsoft Entra ID B2C)
Why this is correct
Microsoft Entra External ID is purpose-built as a robust Customer Identity and Access Management (CIAM) solution, specifically engineered to manage identities for millions of external customers accessing applications and services. It natively supports a wide array of identity providers, including popular social accounts (e.g., Google, Facebook), enterprise accounts, and local accounts. Furthermore, it offers extensive customization capabilities for sign-up, sign-in, and profile management pages, ensuring a fully branded and user-friendly experience tailored for external customers.
- ✗
Microsoft Entra Domain Services
Why it's wrong here
Microsoft Entra Domain Services provides managed domain services, extending traditional Active Directory capabilities like Group Policy, LDAP, and Kerberos/NTLM authentication to Azure virtual networks. Its primary function is to support the migration of legacy, domain-joined applications to the cloud without requiring customers to deploy and manage domain controllers. This service is explicitly not designed for managing external customer identities or facilitating web-based sign-in experiences for consumer-facing applications.
- ✗
Microsoft Entra Permissions Management
Why it's wrong here
Microsoft Entra Permissions Management is a Cloud Infrastructure Entitlement Management (CIEM) solution focused on discovering, remediating, and continuously monitoring permissions across multi-cloud environments, including Azure, AWS, and GCP. Its core purpose is to enforce the principle of least privilege for human and workload identities within an organization's cloud infrastructure. This service is entirely unrelated to providing a secure sign-in experience or managing the identities of external customers for applications.
Go deeper
Related to this question
Learn chapter
Identity Concepts
Key term
Microsoft Entra ID
Microsoft Entra ID is a cloud-based identity and access management service that lets employees sign in and access resources both inside and outside of your organization.
Key term
OpenID Connect
OpenID Connect is an identity layer on top of OAuth 2.0 that allows applications to verify a user's identity and obtain basic profile information in a standardized way.
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JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This SC-900 practice question is part of Courseiva's free Microsoft certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the SC-900 exam.