Utilizing Microsoft Defender AI to Detect Plain Text Credentials in Active Directory

Microsoft has introduced a revolutionary AI-powered security feature aimed at tackling one of the most persistent vulnerabilities in cybersecurity: the storage of plain text credentials in Active Directory (AD) free-text fields. The new posture alert within Microsoft Defender for Identity utilises artificial intelligence to detect exposed credentials with remarkable accuracy, enabling organisations to identify and rectify identity misconfigurations before they can be exploited. Initial research by Microsoft uncovered over 40,000 exposed credentials across 2,500 tenants, underscoring the widespread nature of this security issue. These free-text fields, originally intended for unstructured data storage in HR systems, email signature tools, or Privileged Access Management (PAM) solutions, often become unintended repositories for sensitive information due to their ungoverned nature.

The innovative security feature employs a sophisticated layered intelligence approach to credential detection. It initiates with a thorough scan of identity directories, flagging potential credential exposures, including base64-encoded secrets and strings that match known password structures. An advanced AI model further analyses contextual factors such as identity type, value stability, recent changes, and references in automation scripts or logs. Non-human identities (NHI) are particularly vulnerable, as they significantly outnumber human identities and cannot utilise traditional authentication methods like multi-factor authentication (MFA). Administrators frequently store service account credentials in description or info fields of AD objects for troubleshooting purposes, creating high-value targets for attackers. Microsoft Defender for Identity customers can now access this new posture recommendation in public preview through the “Exposure Management” section of the Defender portal, allowing organisations to proactively mitigate threats before they occur. 

Categories: AI-Powered Security, Credential Exposure Detection, Active Directory Vulnerabilities 

Tags: AI, Security, Credentials, Active Directory, Microsoft Defender, Vulnerability, Exposure, Authentication, Identity, Detection 

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