As part of its evolving identity platform strategy, Microsoft is introducing important updates to Azure AD B2C. A significant change is scheduled for 1 May 2025, when new purchases of Azure AD External Identities P1 and P2 SKUs will be discontinued.
What Exactly Is Changing?
Effective 1 May 2025, Microsoft will retire the Azure AD External Identities P1 and P2 SKUs for new purchases. However, this change does not signify the retirement of Azure AD B2C. Key capabilities and functionalities will remain intact, and users can continue to:
- Create new Azure AD B2C tenants
- Link these tenants to subscriptions
- Leverage all existing features, including custom policies and user flows
Microsoft has publicly reaffirmed its commitment to supporting Azure AD B2C through at least May 2030. There will be no impact on service level agreements (SLAs), security updates, or compliance guarantees.
Additionally, B2B collaboration and B2B direct connect capabilities are now part of the Microsoft Entra External ID portfolio. While rebranded, these features remain accessible within the same section of the Entra admin centre.
How Does This Impact Current Azure AD B2C Users?
For existing Azure AD B2C users, there is no immediate cause for concern. Microsoft has confirmed that access to current B2C environments will remain unaffected, and users can continue to create new tenants and utilise custom policies as usual. Existing licensing agreements will remain valid and fully supported. Additionally, Microsoft has committed to maintaining support for Azure AD B2C through at least the year 2030.
Why Are These Changes Happening?
This move signals a continued shift toward Microsoft’s next-generation Customer Identity and Access Management (CIAM) solution: Microsoft Entra External ID. Back at Microsoft Build in May 2023, Microsoft previewed its next-generation external identity platform, laying the groundwork for what is now Microsoft Entra External ID. This platform will be a single, integrated platform that makes it easier to manage external identities, from customers and partners to citizens and patients, with improved developer experiences and more built-in capability.
Schedule Your Complimentary Discovery Call Today – No Obligations, Just Insight
Are you looking to optimise your Microsoft environment? As trusted Microsoft specialists with over a decade of experience, we’ve helped some of Europe’s most security-conscious organisations streamline operations, enhance security, and maximise the value of their Microsoft suite.
Book your free Discovery Call today via the form below to speak with our experts and explore tailored strategies for managing and optimising your Microsoft ecosystem.
