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Entra ID Lab

Phase 2 of 11

Cloud Users and B2B Collaboration

Overview

What was built

For a cloud-only member, Microsoft Entra ID is the absolute source of authority. This organization manages the password, MFA registration, and the account's entire lifecycle. For a B2B guest, the source of authority stays with the user's home identity provider, whether that is another Entra ID tenant or a personal email account, which cuts IT overhead while still letting Conditional Access apply to what the guest can reach.

How it works

The walkthrough

Step 1 of 1

Creating a member account and inviting a guest

Created a new cloud-only user, steve.rogers@starkenterpriselab.com, and assigned the Operations Manager job title directly in Entra ID.

Invited an external user, Logan, using a personal email address, with the User Type set to Guest. Comparing the two accounts side by side in the user list makes the difference in Creation type and User type immediately visible.

Microsoft Entra ID user list showing a cloud-only member account next to an external guest account
A cloud-only employee and an external B2B guest, managed differently by design.