What is Microsoft Sentinel? Complete Azure SIEM Guide 2024

Microsoft Sentinel (formerly Azure Sentinel) is a cloud-native Security Information and Event Management (SIEM) and Security Orchestration, Automation, and Response (SOAR) solution from Microsoft. Built on Azure, Sentinel provides intelligent security analytics and threat intelligence across the enterprise, using AI and machine learning to detect threats, investigate incidents, and respond to attacks at cloud scale. Unlike traditional on-premises SIEM platforms, Sentinel eliminates infrastructure overhead, offers virtually unlimited scalability, and integrates deeply with the Microsoft security ecosystem while also supporting multi-cloud and on-premises environments.

This comprehensive guide explores what Microsoft Sentinel is, how it works, its evolution from Azure Sentinel, key features and capabilities, architecture, pricing, use cases, implementation best practices, and how it compares to other SIEM solutions.

What is Microsoft Sentinel?

Microsoft Sentinel is a cloud-native security operations platform that combines:

Primary capabilities:

📊 Microsoft Sentinel Key Statistics

  • 15,000+: Organizations using Microsoft Sentinel
  • 150+: Built-in data connectors
  • 500+: Pre-built detection rules
  • 10 Tbps+: Data ingestion capacity
  • 99.9%: SLA uptime guarantee
  • 60+ regions: Global Azure datacenter availability

What Makes Sentinel Different?

Cloud-native architecture:

Built on Azure foundation:

Intelligence integration:

Azure Sentinel vs Microsoft Sentinel: What Changed?

The Rebrand

In November 2021, Microsoft renamed "Azure Sentinel" to "Microsoft Sentinel." This was not just a cosmetic change but reflected the product's evolution:

Reasons for the rename:

What stayed the same:

What improved post-rename:

Bottom line: If you're researching "Azure Sentinel," you're looking at the same product as "Microsoft Sentinel"—the name change simply reflects its expanded scope beyond Azure-only environments.

Key Features and Capabilities

1. Cloud-Native SIEM

Log collection and aggregation:

Search and investigation:

2. AI-Powered Threat Detection

Built-in analytics rules:

Machine learning:

3. SOAR (Security Orchestration, Automation, and Response)

Playbooks (Azure Logic Apps):

4. Incident Management

Unified incident view:

Investigation graph:

5. Threat Hunting

Hunting queries:

Notebooks (Jupyter):

6. Workbooks (Visualization)

Interactive dashboards:

7. Threat Intelligence Platform

Threat indicators:

8. User and Entity Behavior Analytics (UEBA)

Identify insider threats and compromised accounts:

How Microsoft Sentinel Works: Architecture

Core Components

1. Data Collection (Data Connectors)

2. Log Analytics Workspace

3. Analytics Engine

4. Incident Management

5. Automation (Logic Apps/Playbooks)

Data Flow

1. Data Sources → 2. Data Connectors → 3. Log Analytics Workspace
   ↓
4. Analytics Rules Process Data → 5. Alerts Generated
   ↓
6. Alerts Grouped into Incidents → 7. Analyst Investigates OR Automated Playbook Responds
   ↓
8. Incident Resolved → 9. Lessons Learned → 10. Update Detection Rules

Data Connectors and Integration

Microsoft Ecosystem Connectors

Native Azure integrations:

Microsoft 365:

Third-Party and Multi-Cloud Connectors

Cloud platforms:

Security tools:

Common standards:

Data Connector Types

1. Service-to-Service (Native)

2. Agent-Based

3. CEF/Syslog via Forwarder

4. API/Custom

Analytics and Threat Detection

Analytics Rule Types

1. Scheduled Query Rules

2. Microsoft Security Rules

3. Fusion (ML Correlation)

4. ML Behavior Analytics

5. Threat Intelligence Matching

Pre-Built Detection Rules

Microsoft provides 500+ pre-configured rules covering:

Detection content sources:

SOAR and Automation

Playbooks (Azure Logic Apps)

Microsoft Sentinel uses Azure Logic Apps for automation, calling them "playbooks."

Common automation scenarios:

1. Enrichment Playbooks

2. Notification Playbooks

3. Response Playbooks

4. Investigation Playbooks

Playbook Triggers

Integration Capabilities

Logic Apps provide 400+ connectors including:

Threat Hunting with KQL

Kusto Query Language (KQL)

What is KQL? The query language for Azure Log Analytics, used for searching and analyzing log data in Sentinel.

Key capabilities:

Example KQL Queries

Find failed logins:

SigninLogs
| where ResultType != 0
| where TimeGenerated > ago(24h)
| summarize FailedLogins = count() by UserPrincipalName
| where FailedLogins > 5
| order by FailedLogins desc

Detect impossible travel:

SigninLogs
| where TimeGenerated > ago(24h)
| extend LocationDetails = parse_json(LocationDetails)
| project TimeGenerated, UserPrincipalName, City = LocationDetails.city, Country = LocationDetails.countryOrRegion
| order by UserPrincipalName, TimeGenerated asc

Find privilege escalation:

AuditLogs
| where TimeGenerated > ago(7d)
| where OperationName == "Add member to role"
| where TargetResources[0].modifiedProperties[0].displayName == "Role.DisplayName"
| project TimeGenerated, InitiatedBy = InitiatedBy.user.userPrincipalName, RoleAdded = TargetResources[0].modifiedProperties[0].newValue

Hunting Queries in Sentinel

Microsoft provides 100+ pre-built hunting queries:

Notebooks (Advanced Hunting)

For complex investigations, Sentinel supports Jupyter Notebooks with Python:

Pricing and Cost Management

Pricing Model

Microsoft Sentinel uses consumption-based pricing charged on:

Pricing Tiers (2024)

Pay-As-You-Go:

Commitment Tiers:

Simplified Pricing (Preview):

Additional Costs

Typical Cost Examples

Small Business (10 GB/day):

Mid-Size Organization (100 GB/day):

Enterprise (500 GB/day):

Cost Optimization Strategies

1. Filter Data at Source

2. Use Basic Logs

3. Archive Old Data

4. Right-Size Commitment Tier

5. Optimize Connectors

💰 Comparing Costs: Sentinel vs Traditional SIEM

Traditional SIEM (e.g., Splunk):

  • Licensing: $150-$2,000+ per GB/day
  • Infrastructure: Servers, storage, maintenance ($50K-$500K+)
  • Personnel: Dedicated admin team

Microsoft Sentinel:

  • Licensing: $1.80-$2.76 per GB/day
  • Infrastructure: $0 (cloud-native)
  • Personnel: Fewer admins needed

Typical result: 30-50% lower TCO for Sentinel vs traditional SIEM

Implementation Guide

Phase 1: Planning (Week 1-2)

Activities:

Key decisions:

Phase 2: Workspace Setup (Week 2-3)

Steps:

  1. Create Azure subscription (if needed)
  2. Create Log Analytics workspace
  3. Enable Microsoft Sentinel on workspace
  4. Configure data retention settings
  5. Set up RBAC (assign Sentinel Reader, Responder, Contributor roles)
  6. Create resource groups for organization

Phase 3: Data Connector Configuration (Week 3-6)

Priority order:

  1. High-value, easy wins:
    • Microsoft Entra ID (Azure AD)
    • Microsoft 365 (if applicable)
    • Azure Activity logs
    • Microsoft Defender products
  2. Network devices:
    • Firewalls (Palo Alto, Check Point, etc.)
    • Proxies
    • VPN concentrators
  3. Endpoints:
    • Windows Security Events
    • Linux Syslog
    • EDR platform (CrowdStrike, etc.)
  4. Cloud workloads:
    • AWS CloudTrail
    • GCP audit logs
    • SaaS applications
  5. Other security tools:
    • Email security
    • Web security
    • Identity providers

Connector setup tip: Start with one data source, validate data flowing correctly, then scale

Phase 4: Analytics Configuration (Week 5-8)

Steps:

  1. Enable Fusion (ML correlation): Turn on immediately
  2. Import analytics rule templates: Browse 500+ Microsoft-provided rules
  3. Enable high-priority rules: Start with Critical/High severity
  4. Configure rule settings: Set run frequency, lookup period, alert grouping
  5. Test rules: Validate alerts generate correctly
  6. Tune rules: Adjust thresholds to reduce false positives
  7. Create custom rules: Build detections for environment-specific threats

Phase 5: Playbook Development (Week 7-10)

Start simple:

  1. Notification playbooks: Email/Teams alerts first
  2. Enrichment playbooks: Add context to incidents
  3. Response playbooks: Automated remediation (carefully tested!)

Best practice: Start with manual-trigger playbooks, then automate as confidence grows

Phase 6: Workbooks and Dashboards (Week 8-10)

Deploy pre-built workbooks:

Create custom workbooks:

Phase 7: Tuning and Optimization (Ongoing)

Continuous improvement:

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Use Cases and Applications

1. Cloud Security Monitoring

Challenge: Securing Azure, AWS, and GCP workloads

Solution: Sentinel connectors for all major cloud platforms

Detections:

2. Insider Threat Detection

Challenge: Detecting malicious or negligent insiders

Solution: UEBA (User and Entity Behavior Analytics)

Detections:

3. Ransomware Detection and Response

Challenge: Detecting and stopping ransomware quickly

Solution: Multi-stage detection + automated response

Detections:

Response: Automated endpoint isolation via playbook

4. Compliance and Auditing

Challenge: Meeting regulatory requirements (SOC 2, HIPAA, PCI DSS, GDPR)

Solution: Centralized log collection + retention + reporting

Capabilities:

5. Hybrid Environment Monitoring

Challenge: Visibility across on-premises and cloud

Solution: Agents for on-premises + cloud connectors

Coverage:

6. Security Operations Center (SOC)

Challenge: Empowering SOC analysts with tools and automation

Solution: Complete SIEM + SOAR platform

Capabilities:

Microsoft Sentinel vs Competitors

Microsoft Sentinel vs Splunk

Microsoft Sentinel advantages:

Splunk advantages:

Best choice:

Microsoft Sentinel vs IBM QRadar

Microsoft Sentinel advantages:

QRadar advantages:

Microsoft Sentinel vs Chronicle (Google)

Microsoft Sentinel advantages:

Chronicle advantages:

Feature Microsoft Sentinel Splunk IBM QRadar Chronicle
Deployment Cloud-only On-prem, cloud, hybrid On-prem, cloud Cloud-only
Pricing $2-$3/GB $150-$2,000/GB Events/flows-based Flat rate (unlimited)
SOAR Included (Logic Apps) Separate product ($) Separate product ($) Limited
ML/AI Built-in (Fusion, UEBA) Add-on ($) Limited Built-in
Best For Microsoft shops, cloud-first Diverse envs, mature SOC Regulated industries GCP, speed priority

Best Practices for Microsoft Sentinel

1. Start Small, Scale Gradually

2. Design for Cost Optimization

3. Tune Analytics to Reduce False Positives

4. Build Playbooks Carefully

5. Implement Proper RBAC

6. Monitor Sentinel Health

7. Leverage Community Content

8. Document Everything

9. Train Your Team

10. Integrate with Broader Security Stack

Frequently Asked Questions

What is Microsoft Sentinel?

Microsoft Sentinel (formerly Azure Sentinel) is a cloud-native Security Information and Event Management (SIEM) and Security Orchestration, Automation, and Response (SOAR) solution. It provides intelligent security analytics and threat intelligence across the enterprise, collecting data from all sources including users, applications, servers, and devices running on-premises or in any cloud. Sentinel uses AI and machine learning to detect threats, automate responses, and enable security teams to investigate and respond to incidents at cloud scale.

What is the difference between Azure Sentinel and Microsoft Sentinel?

They are the same product. Microsoft renamed Azure Sentinel to Microsoft Sentinel in November 2021 to reflect that it works with all cloud platforms (AWS, GCP) and on-premises environments, not just Azure. The functionality, pricing, and service remain identical—only the name changed to better represent its multi-cloud and hybrid capabilities.

How much does Microsoft Sentinel cost?

Microsoft Sentinel uses pay-as-you-go pricing based on data ingestion volume:

Typical costs: $500-$5,000/month for small businesses, $50,000+/month for large enterprises. Additional charges apply for Logic Apps automation and long-term retention.

What are the key features of Microsoft Sentinel?

Key features include:

Is Microsoft Sentinel better than Splunk?

Both are leading SIEM platforms with different strengths:

Sentinel advantages: Cloud-native architecture, lower initial cost (no infrastructure), tight Microsoft integration, included SOAR capabilities, AI/ML built-in, faster deployment.

Splunk advantages: More mature platform (20+ years), stronger third-party app ecosystem, better for non-Microsoft environments, more flexible deployment (on-prem/cloud/hybrid), advanced visualization.

Best choice: Sentinel excels for Microsoft-heavy or cloud-first organizations; Splunk better for diverse tech stacks and on-premises requirements. Sentinel typically offers 30-50% lower TCO.

Can Microsoft Sentinel work with AWS and GCP?

Yes. Despite the "Microsoft" name, Sentinel supports multi-cloud environments:

Sentinel is designed as a centralized SIEM for hybrid and multi-cloud environments, not just Azure-only workloads.

What is the difference between SIEM and SOAR?

SIEM (Security Information and Event Management): Collects, correlates, and analyzes security data to detect threats. Provides visibility and alerting.

SOAR (Security Orchestration, Automation, and Response): Automates responses to security incidents and orchestrates workflows across security tools. Executes remediation.

Microsoft Sentinel includes both—SIEM capabilities for detection and investigation, plus SOAR capabilities through Logic Apps playbooks for automated response. Traditional SIEMs (Splunk, QRadar) sell SOAR as separate products.

What is KQL (Kusto Query Language)?

KQL is the query language for Azure Log Analytics, used to search and analyze log data in Microsoft Sentinel. It's similar to SQL but optimized for log analysis and time-series data. KQL enables powerful queries to hunt threats, investigate incidents, and create custom analytics rules. Example: Search failed logins in last 24 hours, aggregate by user, filter for >5 failures. Microsoft provides extensive KQL documentation and training.

Do I need to know Azure to use Microsoft Sentinel?

Basic Azure knowledge helps but isn't required for security analyst work. You'll need to understand:

Microsoft provides free training through Microsoft Learn. The SC-200 certification path teaches Sentinel from scratch.

How long does it take to implement Microsoft Sentinel?

Implementation timeline varies by organization:

Sentinel can show value quickly (1-2 weeks for basic monitoring), but full maturity takes time for tuning and optimization.

Can I try Microsoft Sentinel for free?

Yes. Microsoft offers:

This allows evaluation without commitment. After trial, normal pay-as-you-go pricing applies.

Conclusion: Microsoft Sentinel for Modern Security Operations

Microsoft Sentinel represents the evolution of security operations toward cloud-native, AI-powered, and automated threat detection and response. By eliminating the infrastructure overhead of traditional SIEM platforms and offering virtually unlimited scalability at consumption-based pricing, Sentinel makes enterprise-grade security operations accessible to organizations of all sizes.

The platform's strength lies in its deep integration with the Microsoft ecosystem—seamlessly connecting Azure, Microsoft 365, Defender products, and Entra ID—while also supporting multi-cloud and on-premises environments through 150+ data connectors. The included SOAR capabilities through Azure Logic Apps enable organizations to automate responses without purchasing separate orchestration platforms, significantly improving mean time to respond (MTTR) while reducing analyst workload.

What sets Sentinel apart is its use of Microsoft's global threat intelligence and AI capabilities. The Fusion correlation engine can detect sophisticated multi-stage attacks by combining weak signals into high-confidence incidents, while UEBA identifies anomalies that rule-based detection misses. These capabilities, combined with powerful threat hunting using KQL and Jupyter notebooks, give security teams both the breadth of automated detection and the depth of manual investigation.

For organizations already invested in Microsoft technologies, Sentinel is often the natural choice—providing seamless integration, lower total cost of ownership, and faster time to value compared to traditional SIEM platforms. Even for diverse, multi-cloud environments, Sentinel's cloud-native architecture and growing third-party ecosystem make it a compelling option, especially for teams prioritizing scalability, automation, and cost efficiency over the maturity and flexibility of established on-premises SIEMs.

Success with Sentinel requires thoughtful implementation—starting small, optimizing for cost, tuning analytics to reduce noise, and building automation incrementally. The platform is powerful but requires ongoing effort to realize its full potential. Organizations willing to invest in KQL training, playbook development, and continuous tuning will find Sentinel a transformative platform for modern security operations, enabling the shift from reactive incident response to proactive threat hunting and automated defense.

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