What is Federated Identity?

Understanding Federated Identity

Federated Identity systems solve the fundamental problem of managing user access across organizational boundaries by allowing users to authenticate once with their home organization and then access resources from partner organizations without needing separate credentials. This trust-based approach uses standards like SAML, OpenID Connect, or OAuth to securely exchange authentication and authorization information between identity providers (who verify users) and service providers (who control resources). For users, federation eliminates password fatigue and simplifies access. For organizations, it reduces administrative overhead and improves security by eliminating the need to maintain external user accounts. Implementing federation requires establishing trust relationships between organizations, agreeing on attribute sharing policies, and configuring systems to properly validate identity assertions. Common challenges include managing certificate expirations, troubleshooting authentication failures that span organizational boundaries, and handling attribute mapping between different identity systems. Effective implementations balance security requirements with user experience considerations.