Microsoft has unveiled a new AI-powered security feature within Defender for Identity that addresses a critical vulnerability affecting thousands of organizations: credentials stored in plain text within Active Directory fields.
The company’s research reveals over 40,000 exposed credentials across 2,500 tenants, highlighting the widespread nature of this security gap that essentially leaves digital “keys under the doormat.”
The Hidden Vulnerability in Identity Systems
The security issue arises from the misuse of free-text fields in identity systems, such as Active Directory and Microsoft Entra ID.
These customizable attributes, designed for storing unstructured data to support HR integrations and Privileged Access Management solutions, have become inadvertent repositories for sensitive credentials.
Administrators often store passwords and authentication tokens in description or info fields to simplify troubleshooting and system integration, creating high-value targets for cybercriminals.
Non-human identities (NHI) face disproportionate risk from this vulnerability. These service accounts, which substantially outnumber human users, cannot utilize traditional multi-factor authentication methods.
Under pressure to maintain system uptime, administrators frequently store NHI credentials in clear-text fields, making them particularly attractive targets for attackers seeking elevated privileges and lateral movement opportunities.
AI-Driven Detection Architecture
Microsoft’s solution employs a sophisticated layered intelligence approach to credential detection.
The system begins with comprehensive directory scanning to identify potential exposures, including base64-encoded secrets and strings matching known password structures.
A secondary AI model then analyzes contextual factors such as identity type, value persistence, recent modifications, and references in automation scripts or logs.
This dual-layer approach significantly reduces false positives while ensuring high-confidence, actionable alerts for security teams.
The AI-powered enumeration capabilities address the evolving threat landscape where attackers can now exploit exposed credentials in seconds rather than hours.
| Detection Component | Function | Key Features |
|---|---|---|
| Primary Scanner | Credential Pattern Detection | Base64 encoding, password structures, secret formats |
| AI Context Analyzer | Risk Assessment | Identity type analysis, change tracking, script references |
| Alert System | Threat Prioritization | High-confidence alerts, false positive reduction |
Implementation and Availability
The new posture alert is currently available in public preview for all Defender for Identity customers.
Organizations can access the feature through the “Exposure Management” section within the Defender portal by searching for the specific recommendation.
Microsoft has positioned this capability as part of a broader initiative to help organizations proactively identify and remediate identity misconfigurations before exploitation occurs.
Find this Story Interesting! Follow us on LinkedIn and X to Get More Instant Updates
%20(1)%20(1).webp?resize=1600,900&ssl=1&description=The company's research reveals over 40,000 exposed credentials across 2,500 tenants, highlighting the widespread nature of this security gap that essentially leaves digital "keys under the doormat."){kind=link}