Active Directory (AD) is a directory service that Microsoft developed for Windows domain networks. It is included in most Windows Server operating systems as a set of processes and services. Initially, Active Directory was only in charge of centralized domain management. Starting with Windows Server 2008, however, Active Directory became an umbrella title for a broad range of directory-based identity-related services.

A server running Active Directory Domain Services (AD DS) is called a domain controller. It authenticates and authorizes all users and computers in a Windows domain type network—assigning and enforcing security policies for all computers and installing or updating software. For example, when a user logs into a computer that is part of a Windows domain, Active Directory checks the submitted password and determines whether the user is a system administrator or normal user. Also, it allows management and storage of information, provides authentication and authorization mechanisms, and establishes a framework to deploy other related services: Certificate Services, Federated Services, Lightweight Directory Services and Rights Management Services.

Active Directory uses Lightweight Directory Access Protocol (LDAP) versions 2 and 3, Microsoft’s version of Kerberos, and DNS.

Source: https://en.wikipedia.org/wiki/Active_Directory