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Microsoft Entra Identity Protection + Sentinel | Real-Time Zero Trust Defense

In today’s borderless digital environment, identity is the new perimeter. Remote work, cloud adoption, and SaaS sprawl have redefined how we manage and protect access. The result? Identity-based threats are now the most common attack vector.

Traditional security models can no longer keep up. Organizations need continuous, context-aware, and adaptive defenses that evolve with attacker tactics. This is where Microsoft Entra Identity Protection and Microsoft Sentinel come together, delivering a proactive, risk-based security model rooted in the principles of Zero Trust.

In this guide, we’ll explore how integrating these Microsoft security solutions helps organizations detect, investigate, and remediate identity threats in real-time, all while streamlining operations across the Security Operations Center.

Table of Contents

  1. Microsoft Entra Identity Protection

  2. The Four Critical Risk Reports

  3. Connecting Identity Protection to Microsoft Sentinel

  4. Real-Time Threat Correlation with Sentinel

  5. How It Enhances SOC Operations

  6. The Role of Identity in Zero Trust Security

  7. Licensing and Prerequisites

  8. Final Thoughts

Key Takeaways

  • Microsoft Entra Identity Protection flags risky users, sign-ins, and workload identities using AI.

  • Integration with Microsoft Sentinel helps correlate identity risk with broader environment signals.

  • Enables automated response via Conditional Access policies and SOAR workflows.

  • Supports the Zero Trust model: verify explicitly, use least-privilege access, and assume breach.

  • Requires Microsoft Entra ID P2 and Microsoft 365 E5 licenses for full capabilities.

Microsoft Entra Identity Protection

Microsoft Entra Identity Protection is a cloud-native tool that detects identity-based risks using machine learning and Microsoft threat intelligence. It collects and analyzes trillions of signals from services like Microsoft 365, Defender for Cloud Apps, and Microsoft Defender for Endpoint.


Microsoft Entra Identity protection

It helps answer key questions like:

  • Is this user behaving differently than usual?

  • Is the login location expected?

  • Is the device recognized?

  • Is this workload identity (e.g., service principal) misused?

Its value lies in real-time analysis and response, so organizations can stop attackers before lateral movement or data compromise occurs.

The Four Critical Risk Reports

Risky Users Report

Lists users flagged for potential compromise. Common reasons include:

  • Leaked credentials from dark web monitoring

  • Sign-ins from new or impossible locations

  • Multiple failed sign-in attempts

Each user’s risk level is categorized as Low, Medium, or High based on Microsoft’s confidence in a compromise.

Risky Workload Identities Report

Highlights compromised non-human identities like service accounts and managed identities. These are often overlooked but hold high privileges.

Signals include:

  • Suspicious sign-ins

  • Unusual behavior detected by Microsoft Defender or Entra Threat Intelligence

Risky Sign-ins Report

Provides a detailed view of abnormal sign-ins, flagging anomalies in:

  • IP address/geolocation

  • Device fingerprinting

  • User-Agent strings

  • Time of access

Retained for up to 30 days by default.

Risk Detections Report

The most comprehensive of all reports, offering:

  • Consolidated view of all risk signals

  • 90-day data retention

  • Timestamps for detection and updates

  • Risk correlation for users and sign-ins

Connect Identity Protection to Microsoft Sentinel

While Microsoft Entra ID Protection works well as a standalone, integrating it with Microsoft Sentinel, Microsoft’s SIEM platform, unlocks advanced use cases like:

  • Cross-domain incident correlation

  • Unified threat hunting dashboards

  • Automated playbooks for risk mitigation

Integration Methods

Diagnostic Settings

Configure Entra ID to send logs directly to Log Analytics and Sentinel. This is the most reliable and low-latency method.

Microsoft Graph API

Use Microsoft Graph PowerShell to extract reports like:

  • Get-RiskyUsers

  • Get-RiskySignIns

  • Get-RiskyDetections

Ideal for custom dashboards, automations, or third-party SIEM tools.

Microsoft Extractor Suite

A CLI-based approach to export Entra logs for advanced analytics or offline storage. (Note: workload identity support is limited.)

Once integrated, these signals are available in Sentinel Workbooks, Analytics Rules, and Watchlists—powering automated responses across the SOC.

Real-Time Threat Correlation with Sentinel

With data flowing into Sentinel, your SOC can start correlating identity risks with signals from:

  • Endpoint logs (via Defender for Endpoint)

  • Network traffic

  • Email and collaboration data (via Defender for Office 365)

  • App usage and Shadow IT (via Defender for Cloud Apps)

Example Use Case

A High-risk sign-in is detected from Russia → Sentinel correlates it with failed endpoint login attempts → An automated playbook disables the account and alerts the SOC.

Entra also logs:

  • Detection Timestamp: When a risk was detected

  • Last Updated: The Latest status of that detection

These fields help determine whether a Conditional Access policy was triggered and whether the risk was remediated.

How It Enhances SOC Operations

Microsoft Entra Identity Protection accelerates incident triage, alert prioritization, and response execution.

As a Starting Point

Risky user reports give analysts a head start, identifying suspicious behavior without digging through multiple logs.

Automation with Conditional Access

Use risk-based Conditional Access to trigger:

  • MFA challenges for Medium/High-risk sign-ins

  • Password resets for High-risk users

  • Session revocation and sign-out

📌 Important: Users must be enrolled in Microsoft Entra MFA and Password Writeback must be enabled for hybrid users to ensure successful remediation.

Manual Admin Actions

In the Azure portal or via Graph API, admins can:

  • Confirm users as compromised or safe

  • Reset passwords

  • Block sign-ins

  • Dismiss specific risks

  • Whitelist trusted IP ranges

Continuous Learning

Every admin action feeds Microsoft’s ML models, improving future detections. Integration with tools like Cayosoft Guardian enhances alert visibility and remediation tracking.

The Role of Identity in Zero Trust

Microsoft’s Zero Trust model has three principles:

  1. Verify explicitly

  2. Use least-privilege access

  3. Assume breach

Entra Identity Protection empowers all three:

  • Verify Explicitly: Analyze user, device, location, and behavior before granting access

  • Least Privilege: Grant conditional access based on risk and role

  • Assume Breach: Detect, isolate, and limit attackers even after initial access

Other benefits:

  • Prevents lateral movement within networks

  • Reduces exposure from insider threats

  • Enables secure partner and remote access

  • Supports hybrid cloud environments

Identity is not just a login. It’s a security signal.

Licensing and Prerequisites

Microsoft Entra ID P2 (Required)

Includes:

  • Risk-based Conditional Access

  • All risk reports (users, sign-ins, detections)

  • Alerts and remediation automation

Available via:

  • Microsoft 365 E5

  • Standalone Microsoft Entra ID P2 licenses

  • Microsoft Entra Suite

Workload Identities Premium

Required to detect risks in service principals and managed identities.

Microsoft Defender Signals

Identity Protection pulls insights from:

  • Defender for Endpoint

  • Defender for Cloud Apps

  • Defender for Office 365

Ensure corresponding licenses are in place.

Azure AD External Identities P2 (formerly B2C Premium P2) is being retired by March 15, 2026. Plan alternatives if using B2C tenants for risk detection.

Final Thoughts: Building a Resilient Identity Strategy

With threats evolving daily, waiting for compromise is no longer an option. By integrating Microsoft Entra Identity Protection with Microsoft Sentinel, organizations can move from reactive security to predictive defense.

You gain:

  • Real-time, risk-aware access control

  • Unified visibility across all environments

  • Scalable automation for security teams

  • Compliance with modern security frameworks like Zero Trust

Whether you’re securing a global enterprise or a growing mid-size business, these Microsoft solutions provide the intelligence and agility needed to stay ahead.

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