For authentication on Microsoft Azure and Office 365, three authentication models are available:
Cloud Identity: This is also known as the standard authentication and uses a cloud-based username and password stored in Microsoft Azure Active Directory. A typical example of a username is
useraccount@<organization>.onmicrosoft.com
.Synchronized Identity: This is also known as managed authentication, and this allows synced usernames and passwords with on-premises AD as the source.
Federated identity: This is also known as federated authentication. This allows single sign-on to Microsoft Office 365 and Azure because of a federation with an on-premise Microsoft Active Directory. Azure kind of trusts the Active Directory a user was authenticated on and does not require additional authentication, making live for users easier.
Cloud Identity is the simplest way to authenticate users. Administrators manage user accounts in Azure AD. There is no connection between...