Hello @Dean Downes,
Please note that still some features are not yet available in External tenants compared to Workforce tenants.
Since you have mentioned about Custom authentication extensions, I am providing you the details below of what features are currently supported in Workforce and external tenants for Custom authentication extensions.
Custom authentication extensions allow you to customize the Microsoft Entra authentication experience by integrating with external systems. A custom authentication extension is essentially an event listener that, when activated, makes an HTTP call to a REST API endpoint where you define your own business logic. The following table compares the custom authentication extensions events available in workforce and external tenants.
Please refer to the below document to know about what are all the currently supported features available in Workforce tenant and External tenant in Microsoft Entra External ID.
External Tenant Features - Microsoft Entra External ID | Microsoft Learn
I hope the above information provided is helpful. Please let me know if you have any further questions.