Microsoft 365 Certified: Administrator ExpertImplement and manage Microsoft Entra IDMedium

A company is implementing Microsoft Entra Connect in a new hybrid environment. The security team has mandated that user password hashes must be synchronized to Microsoft Entra ID to enable cloud-only authentication scenarios, but also requires that users can sign in using their on-premises credentials. Which authentication method should be configured?

  1. APassword Hash Synchronization (PHS)
  2. BPass-through Authentication (PTA)
  3. CFederation with Active Directory Federation Services (AD FS)
  4. DSeamless single sign-on (SSO)
Show answer & explanation

Correct answer: A. Password Hash Synchronization (PHS)

Password Hash Synchronization (PHS) is the simplest method for enabling hybrid identity. It synchronizes a hash of the user's password hash from on-premises Active Directory to Microsoft Entra ID, allowing users to sign in with the same credentials. This fulfills the requirement for password hashes to be synchronized for cloud-only authentication while enabling sign-in with on-premises credentials.

Why the other options are wrong

  • B. PTA does not synchronize password hashes; it validates passwords directly against on-premises AD.
  • C. AD FS federation does not synchronize password hashes; it redirects authentication to on-premises AD FS.
  • D. Seamless SSO is an enhancement for PHS/PTA, not an authentication method itself.

Password Hash Synchronization (PHS)

Password Hash Synchronization (PHS) is one of the sign-in methods for hybrid identity. It synchronizes a hash of a user's on-premises Active Directory password hash with Microsoft Entra ID.

  • Simplest to implement for hybrid identity.
  • Provides cloud authentication redundancy if on-premises AD is unavailable.
  • Supports features like Microsoft Entra ID Protection and self-service password reset.

Memory trick: PHS is 'Password Hash Sync,' PTA 'Pass Through All,' AD FS 'Federates Directories Fully.'

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