What is Passwordless Authentication?

Passwordless authentication verifies user identities without passwords or other memorized information. Instead, the security team verifies a user’s identity using either a “possession factor,” which is an object that uniquely identifies the user (e.g. a registered mobile device, hardware token, or a generated one-time password) or an “inherent factor” (e.g. fingerprint or facial scan). When used with multi-factor authentication (MFA) and single sign-on (SSO) solutions, passwordless authentication can improve user experience, strengthen security, and reduce the cost and complexity of IT operations.

Both MFA and passwordless authentication increase security by requiring users to provide more than just a password to verify identity. But they are different in one important way: MFA increases security by requiring users to provide two or more independent factors to verify their identity—but one of those factors is very likely to be a password.

On the other hand, passwordless authentication avoids passwords entirely, thereby completely eliminating the vulnerabilities passwords pose, along with the management hassles and help desk burdens they often create.

Easy to hack

Unlike possession and inherent factors, traditional authentication is based solely on something the user knows, such as a password, that is by nature vulnerable to both reuse and theft. In 2023, 68% of data breaches involved the human element, including phishing and other social engineering attacks in which users unwittingly give away credentials to attackers.

Constant management

Passwords also require constant management from both users and IT staff. For the average user, keeping track of ever-multiplying passwords of varying complexity is at minimum a hassle, and often a challenge. Forgotten passwords can delay work or trigger account lockouts. To aid memory, users often reuse passwords across accounts or write them down, further compromising an already weak system. Password reuse can also multiply the impact of hijacking, phishing and data breaches, making it possible for an attacker to unlock multiple accounts with a single stolen password.

High expense

For IT staff, managing password resets even for legitimate users can be an expensive and time-consuming activity. At larger businesses, as much as 50 percent of IT help desk costs are allocated to password resets; that can amount to more than $1 million in annual staffing, just to help employees reset their passwords. Resets also divert attention from higher-value digital transformation agendas or defending against sophisticated cyber attacks.

Security

Weak or stolen credentials are the root cause behind 49% of breaches perpetrated by external actors, according to a recent Verizon Data Breach Investigations Report. This statistic highlights the critical importance of strong password management and secure authentication practices. When passwords are compromised, organizations face serious risks that could lead to data theft, financial losses, and damage to their reputation. Prioritizing secure credential policies is essential to guard against these frequent and avoidable vulnerabilities.

User Experience

On the user experience front, the average corporate user manages a cumbersome 87 passwords for work-related accounts, creating both a burden and a security risk. Remembering and keeping track of multiple passwords can lead to poor practices, such as reusing passwords or storing them insecurely, which further increases vulnerability. Simplifying user authentication not only enhances security but also improves the day-to-day experience for employees, reducing frustration and encouraging better password hygiene.

Total cost of ownership

The total cost of ownership for password management is high, with password reset requests accounting for up to 50% of IT call volume. Each reset request consumes time and resources that could otherwise be used on more strategic IT initiatives. Reducing the number of password resets through more secure and efficient authentication methods can cut costs and improve operational efficiency, freeing up IT staff for more impactful work.

Passwordless authentication provides a single, strong assurance of user identity. For organizations, this means:

• Better user experience: Users no longer need to remember and update complex password and username combinations just to be productive. With streamlined authentication, users can log in faster with less frustration.
• Stronger security posture: Without user-controlled passwords, there is no password to hack, eliminating a whole class of vulnerabilities and a major source of data breaches.
• Reduction in total cost of ownership (TCO): Passwords are expensive, requiring constant monitoring and maintenance by IT staff. Removing passwords eliminates the need to issue, secure, rotate, reset and manage them; reduces the volume of support tickets; and frees IT to deal with more pressing issues.
• IT control and visibility: Phishing, reuse and sharing are common problems in password-protected systems. With passwordless authentication, IT reclaims complete visibility into identity and access management.

As the name suggests, passwordless authentication, or password-free authentication, eliminates memorized passwords as a requirement for verification. Instead, users authenticate their identity with more secure methods such as:

• Generated one-time passwords (OTPs)
• App-based options including tap or push to approve
• FIDO2 security keys
• Biometrics to complete the authentication process

Passwordless authentication uses a range of authentication and encryption protocols. One key difference between passwordless and traditional authentication is that, unlike traditional authentication, passwordless credentials are not fixed or reused. Instead, new authentication data is generated at the beginning of each session.

To go from a passwords-for-everything approach to a passwordless future, take it one step at a time, using these best practices for implementation:

1. Take a gradual approach that’s easy on users. Start with one access point or user group, then expand from there to give users time to learn the system.
2. Focus on convenience as much as security. The easier an authentication method is to use, the more likely users are to adhere to its guidelines.
3. Apply strong authentication at weak points first. Where does traditional authentication leave you most vulnerable? Start there.
4. Keep your eyes on the prize. Steady improvement adds up.

RSA offers the world’s most widely deployed MFA capabilities, trusted on-premises and in the cloud by security-first organizations worldwide. MFA from RSA includes:

• A wide range of passwordless authentication options, including the FIDO-certified RSA iShield Key 2 series and RSA Authenticator App 4.5 for iOS and Android mobile devices; push-to-approve; fingerprint and facial biometrics; “bring your own authenticator”; and hardware tokens that represent the gold standard of authentication. Each of these solutions delivers phishing-resistant solutions that allow users to log into cloud/SaaS or web-based applications, as well as Windows machines.
• RSA Ready partner relationships with FIDO authentication leaders, ensuring out-of-the-box interoperability with FIDO-based passwordless solutions
• Risk scoring informed by advanced AI and machine learning that calculates access risk based on business context, device attributes and behavioral characteristics, then steps up authentication accordingly
• Protected self-service credential management options that eliminate password-dependent workflows to shore up security in onboarding, credential recovery and emergency access
• Always-on strong authentication, with 99.99% availability and a unique “no-fail” multi-platform capability that ensures secure, convenient access even when network connectivity is interrupted