Microsoft is moving towards the future without passwords by making all new Microsoft accounts password-free by default, according to reports. This change is meant to keep users safe from common online attacks like phishing, hacking, and stolen credentials.
The news came after the company began improving the way users sign in and create accounts on its website and app, starting in March when Microsoft started enhancing how people use their websites and apps to create accounts and authenticate themselves. The company also made the process simpler by focusing on these password-free options. When trying to sign in or create accounts, these improvements focus on using secure methods like passkeys instead of passwords.
Major tech companies, like Apple, Google, and Amazon, are gradually moving towards a future without passwords and switching to passkeys. Since passwords remain a key vulnerability exploited by cybercriminals, this adjustment was necessary.
In September 2023, Microsoft added support for passkeys in Windows 11. Google also began using passkeys as the standard sign-in option during that period. Later, Microsoft updated its Windows Hello feature to work with this new technology.
Passkey provides a safer way to log in to apps and websites by removing the need for traditional passwords. Backed by the FIDO Alliance, this authentication method applies asymmetric cryptography (private-public key pair) to establish a secure process.
When a user signs up for an online service, their smartphone or computer generates a pair of cryptographic keys. The private key stays safely stored on the user’s device, while the public key is shared with the service.
When you log in, the device uses a private key to respond to pass a security check from the service, but only after it confirms the user’s identity through different biometric methods.
In October 2024, the FIDO Alliance collaborated with other organizations so that it could make the transfer of passkeys and login information easier. This effort also aims to improve how different systems work together when using passkeys. By late 2024, passkeys had emerged as a viable login method for over 15 billion user profiles, replacing passwords in many cases.
Last month, FIDO also started a new group called the Payments Working Group (PWG). This group’s goal is to explore how passkeys and other FIDO-based tools can be used for secure payment processes. They will also create guidelines to help use these tools with current payment technology.
