Agent Governance - Entra ID VS Agent User

Whilst it is really fun to build agents, the new frontier (yes, pun intended) is to actually make agents that are secure long term and can access the right data.

For a very long time, we have been used to govern users and applications in areas like the Microsoft Entra Admin Center and Power Platform Admin Center.

But how are we keeping our data secrets protected?

We are now at a pivotal point where the same admin tools can we be used for agents natively and seamlessly. Microsoft Entra Agent ID and Dataverse Agent Users are giving us a new identity foundation in agentic development. Combined, they help companies give an agent a singular identity for accessing Dataverse, assign the right security roles, and have visibility into that agent’s activity.

This approach can help our teams with clearer separation between people, applications, and autonomous agents.

So, let’s clarify how these things work.

The architectural distinction

• Microsoft Entra Agent ID

The question it helps us answer: Who is the agent?

We can provide the agent with an identity in Microsoft Entra ID. This is relevant when the agent needs to authenticate to supported services, be recognized as a distinct identity, and be governed through identity and access controls separately from the human end users.

• Dataverse agent user

The question it helps us answer: What can the agent do with Dataverse data?

We can provide the agent with a corresponding user record in Dataverse. This in turn means that as admins we can assign to it Dataverse security roles and control which tables and records the agent can access, subject to the overall security model.

And in case you were wondering, it will be a new option in Power Platform Admin Center just like we are used to managing users!

The key thing is to add the Entra-registered agent to the environment…

And then assign the security roles as needed!

Sample Scenarios For Dataverse Agent Users

• Our agent needs to read or update Dataverse sales records using its own assigned permissions

• Agent must have restricted access to cases but no access to financial records for the related accounts

Reminder

Having an Entra Agent ID does not automatically grant the agent Dataverse permissions to read your business data wherever they may be (phone or otherwise!)

Likewise, creating a Dataverse user record is not a replacement for the agent's identity and authentication configuration. Two different, complementary things. And now we get to do both.

The Ultimate Vision

The aim is to avoid relying unnecessarily on a human maker's identity or a broadly privileged shared account for the agent's Dataverse work.

After all, an agent needs more than an identity: it needs appropriately scoped permissions in the systems it operates.

Some Resources For You

You cannot leave this post without some gifts, so here are some resources for you to read further.

Excited yet?

• Microsoft Learn documentation on Microsoft Entra Agent ID here

  
  

• Article by Paul Liew (PPM, Dataverse Security & Agent 365 Platform) here

  
  

• Microsoft Learn documentation on creating Entra agent users here and here