AZ-204 Developing Solutions for Microsoft Azure Exam

Implement User and Application Authentication

Microsoft Entra ID is a cloud-based identity service where tenants store user, group, and app objects. Applications use a tenant endpoint to request tokens that identify users or authorize app access. Each application has an application identity, which securely requests tokens on behalf of users. This centralizes identity management and ensures consistent security across all services.

Microsoft Entra ID supports industry-standard protocols to authenticate and authorize. These include:

• OAuth 2.0: authorization framework for obtaining access tokens.
• OpenID Connect (OIDC): authentication layer on top of OAuth 2.0 for ID tokens.
• SAML 2.0: authentication standard using SAML assertions.
  Using these protocols, apps can choose the best flow to sign in users and secure APIs.

Handling tokens and enforcing policies is made easier with the Microsoft Authentication Libraries (MSAL). MSAL manages token caching and renewal while enabling Single Sign-On (SSO) to reduce sign-in prompts. When an app requests a token, Conditional Access checks conditions like device health, user location, and risk signals. If policies pass, tokens are issued; otherwise, access is blocked or multi-factor authentication (MFA) is required.

To integrate an application, you register it in the Microsoft Entra admin center or via Microsoft Graph. You configure redirect URIs, define scopes, and set up credentials such as client secrets or certificates. For background services, use managed identities for Azure resources so Azure issues tokens without storing secrets. This approach offers secure, scalable access for both users and automated workloads.

Follow these best practices to keep your solution secure and user-friendly:

• Use system browsers or MSAL brokers to minimize sign-in prompts in native apps.
• Avoid embedded web views to prevent credential exposure.
• Grant only the necessary scopes and roles to enforce least privilege.
• Enable multi-factor authentication and Conditional Access for sensitive operations.

Conclusion

In this section, you learned how Microsoft Entra ID provides a central place for managing users, groups, and application identities. You saw how industry protocols like OAuth 2.0 and OpenID Connect secure sign-in and access to resources. You also discovered how MSAL, Conditional Access, and managed identities simplify token management and boost security. Finally, you reviewed best practices to keep your authentication flows robust and user-friendly. These concepts form the foundation for authenticating and authorizing both users and applications in Azure.