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Nok Nok
31 Oct
4 Min read

Top 6 Considerations to Build vs. Buy FIDO-based Passkeys

October 31, 2023 Nok Nok News Cybersecurity 0 comments

Here we are at the end of Cybersecurity Awareness Month, and you’ve heard  vendors declare how their solutions can help make you and your enterprise safe. There is a lot to consider and maybe you are thinking you can solve the problem on your own – and go the  “build vs. buy” route. Let’s look at the considerations when it comes to adopting the cutting-edge FIDO-based passkeys as the decision carries considerable weight and potential consequences.

When organizations contemplate the implementation of passkeys as an alternative to traditional passwords, they often start by focusing on the Minimum Viable Product (MVP). However, the real challenge lies beyond the MVP—the unknowns that come with version 1.1 and beyond. The technology landscape is constantly evolving, demanding adaptability and scalability. This is when the decision between starting from scratch and leveraging experienced vendors becomes critical.

Here are 6 considerations for your decision-making process:

1. Completeness: Beyond the Minimum Viable Product

Building a passkey solution from scratch may seem like an attractive proposition, especially for the sake of cost-effectiveness and fitting into existing infrastructure. However, it’s crucial to consider the road beyond the Minimum Viable Product (MVP). Rapid technological advancements necessitate staying up-to-date and future-ready. Vendors with experience in passwordless authentication solutions not only offer  much more than a MVP but also pave the way for future expansions and improvements, helping organizations avoid technological dead-ends.

2. Support for Diverse Environments: Native Apps, Web Apps, Devices, and Regulatory Requirements

The ability of passkeys to seamlessly integrate across diverse environments is a fundamental requirement. Most established vendors excel in providing such integration, saving organizations time and resources. In contrast, building this integration in-house can be time-consuming and expensive, especially when compliance requirements need to be addressed. Dedicated passwordless authentication vendors bring years of experience, ensuring compatibility across a wide range of devices and regulatory environments.

3. Seamless Integration and Backend Infrastructure Support

The tech landscape is no longer homogeneous. Maintaining compatibility across various hardware and software versions can be a significant challenge when building in-house. Dedicated vendors can simplify this process by integrating seamlessly with an organization’s existing backend infrastructure, including cloud Hardware Security Modules (HSMs) and Secret Stores. This integration capability minimizes extensive code changes.

4. Maintenance Challenges: Keeping Pace with Specifications

Staying abreast of evolving FIDO and WebAuthn specifications is crucial for passkey solutions. Organizations often underestimate the effort and resources required for ongoing maintenance when building in-house. Partnering with experienced authentication vendors ensures that passkey features remain up-to-date, reducing maintenance burdens and allowing organizations to stay focused on their core objectives.

5. Reducing Development Risks and Project Failures

Homegrown development carries inherent unknown unknowns, particularly when implementing a paradigm like passkeys for the first time. Organizations may overlook critical factors or encounter unexpected challenges, resulting in higher costs, delays, or compromises on user experience. Partnering with an established passwordless authentication provider mitigates these risks by leveraging their extensive experience and lessons learned from successful passkey deployments.

6. Capitalizing on Investment and Experience

While building a passkey solution independently may seem appealing from a cost perspective, it often fails to account for hidden expenses and missed opportunities. Unknown unknowns can be costly both in terms of time and money. Leveraging a vendor like Nok Nok, with expertise and a wealth of investment in FIDO-based implementations, ensures a smoother fit into existing infrastructure and access to valuable intellectual property.

Conclusion

While building a solution from scratch may appear cost-effective or a better fit for existing infrastructure, it often underestimates the maintenance challenges, development risks, and missed opportunities. By leveraging a traditional passwordless vendor’s comprehensive passkey features, organizations can ensure a complete, scalable, secure, and future-proof implementation, benefiting from the expertise and investment of a trusted industry leader.

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11 Oct
3 Min read

Ditch the Passwords and Embrace Passwordless Solutions for Effortless E-Commerce

October 11, 2023 Nok Nok News E-Commerce, passwordless authentication 0 comments

In our hyper-connected digital era, where online shopping is an integral part of our lives, the cumbersome process of creating and managing passwords has become a significant roadblock for e-commerce platforms. A study by NordPass reveals that a typical internet user juggles between 70 to 80 different passwords, highlighting the complexity users face in managing their online identities. It’s high time we explore more convenient and secure alternatives to passwords to enhance the online shopping experience.

Imagine signing up for e-commerce websites with the same ease and simplicity you experience when unlocking your mobile device using facial recognition or a finger swipe. The prospect is intriguing, practical and when done correctly, more secure. Biometric authentication could potentially revolutionize the way we interact with online platforms, particularly in the realm of e-commerce.

One of the costly issues faced by e-commerce sites is shopping cart abandonment, which accounts for a staggering $18 billion in lost revenue annually. A significant portion of this abandonment stems from the cumbersome process of creating a password during the checkout process. When users are prompted to create an account with a password, especially when they are trying to complete their transaction, friction is introduced. This friction can discourage potential customers, leading them to opt for a guest checkout and even abandon their carts.

The consequences of this friction extend beyond lost sales. E-commerce platforms miss out on the opportunity to build customer loyalty and gather valuable customer data for tailored marketing strategies. When users opt for guest checkouts, companies lose the chance to personalize their outreach and marketing efforts. Marketing is all about understanding your audience, and the more information a company has about its users, the better they can target and engage prospective customers effectively. Studies show that users who create accounts have a 10% higher average order value.

What if e-commerce websites offered an alternative solution to the traditional password setup, allowing users to employ biometrics for authentication in the form of “one-step checkout” so that customers don’t have to enter their information repeatedly? Passwordless authentication that utilizes biometrics, such as touch ID and Face ID can provide a seamless and secure user experience. No need for complex passwords! Additionally, implementing FIDO-based Passkey authentication solutions, like those offered by Nok Nok, can protect users from the most common type of attack – phishing – making it extremely difficult for malicious actors to gain unauthorized access to accounts. This proactive approach to security not only benefits customers but also strengthens the credibility and trustworthiness of e-commerce platforms.

By embracing passwordless authentication solutions, e-commerce platforms can simplify the onboarding process leading to increased account creation and reduced cart abandonment rates. The seamless experience would encourage users to complete their purchases, engage more often and potentially foster long-term relationships, leading to increased revenue and enhanced customer loyalty.

It’s evident that the traditional method of creating and managing passwords is outdated and cumbersome, particularly in the fast-paced world of e-commerce. Implementing FIDO-based passkey authentication can be a game-changer, providing users with a more convenient and secure means of accessing e-commerce sites. It’s time for the industry to embrace these innovative authentication methods and elevate the online shopping experience for everyone.

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05 Oct
4 Min read

Fun and Not so Fun Evolution of Authentication: Nok Nok’s Cybersecurity Month Special Series

October 5, 2023 Nok Nok News Cybersecurity 0 comments

In the vast landscape that is the digital world, security is paramount. As technology advances, so does the sophistication of cyber threats. Recognizing this critical need for cybersecurity, the month of October has been designated as Cybersecurity Awareness Month. This observance, which began in the early 2000s, aims to raise awareness about cybersecurity and educate individuals and organizations about the importance of protecting their digital assets.

Throughout this Cybersecurity Awareness Month, we will embark on a fascinating journey through the evolutionary phases/lens of authentication. Authentication, the process of verifying the identity of users and systems, has come a long way from its humble beginnings. From passwords to biometrics, multi-factor authentication (MFA), one-time passwords (OTP), and ultimately passwordless and passkeys, we explore the transitions that have revolutionized the way we secure our digital lives.

Fun-Facts and Not-So-Fun-Facts

The Era of Passwords
Passwords were the pioneers of authentication in the digital realm. Their roots can be traced back to ancient times when watchwords and secret codes were used to gain access to restricted areas. Fast forward to the computer age, passwords became a ubiquitous form of authentication. The word “password” itself can be dated back to the 1960s, gaining prominence with the advent of computing.
Fun Fact: The world’s first password, reportedly used at the Massachusetts Institute of Technology (MIT) in the early 1960s, was “password.”
Not-So-Fun Fact: Weak passwords are still a major vulnerability. “123456” and “password” have consistently topped the list of most commonly used passwords, highlighting the need for stronger authentication methods.

Rise of Biometrics
The 21st century brought forth a paradigm shift in authentication with the integration of biometrics. Biometric authentication uses unique physical or behavioral traits, such as fingerprints, facial recognition, and voice patterns, to verify an individual’s identity.
Fun Fact: The idea of using fingerprints as a means of identification dates back to ancient Babylon, where fingerprints were used on clay tablets for business transactions.
Not-So-Fun Fact: Modern AI makes it easy to create deep-fakes, making spoofing practical, emphasizing the need for a possession factor as well.

Multi-Factor Authentication (MFA)
To enhance security, the concept of MFA (or two-factor) emerged, combining two or more authentication methods. MFA typically involves a combination of something you know (e.g., password), something you have (e.g., smartphone), and something you are (e.g., fingerprint).
Fun Fact: MFA can be traced back to the use of bank ATM cards, which require the card (something you have) and a PIN (something you know).
Not-So-Fun Fact: Phishing attacks can bypass legacy MFA, emphasizing the need for phishing-resistant MFA.

One-Time Passwords (OTP)
OTP is a dynamic authentication method that provides a single-use code, usually valid for a short period. It’s widely used for secure logins and transactions.
Fun Fact: OTPs gained popularity in the mid-2000s and have since become a standard for secure online interactions.
Not-So-Fun Fact: OTPs are easily phishable and users have no easy way of knowing whether they are entering them into a legitimate application.

The Emergence of Passwordless Authentication and Passkeys
In a bid to eliminate the weaknesses associated with traditional passwords, passwordless authentication and passkeys have gained traction. Passwordless authentication often leverages biometrics, device fingerprinting, or cryptographic keys to verify users, while passkeys involve securely stored credentials on devices.
Fun Fact: FIDO (Fast Identity Online) Alliance has played a significant role in the development and adoption of passwordless authentication standards.
Not-So-Fun Fact: The adoption of new authentication methods can be slow due to organizational readiness and resistance to change.

Conclusion

Cybersecurity Awareness Month serves as a timely reminder of the ever-evolving landscape of cybersecurity and the imperative to stay informed and updated. The journey from passwords to passkeys showcases the constant efforts and innovations in the realm of authentication to enhance security and protect our digital footprints. As we celebrate Cybersecurity Awareness Month, let us embrace these advancements and continually strive to bolster our digital defenses for a safer online world.

 

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“Transactions using mobile devices are rapidly spreading and it is essential to support both usability and security. By combining Hitachi’s abundant system development capabilities and know-how in the financial system and security related fields, and Nok Nok’s globally deployed and proven FIDO certified products, we achieved this compatibility, which led to this adoption.”

– Mr. Nobuo Nagaarashi, General Manager, Financial Information Systems 1st Division, Hitachi, Ltd.

 

The M in MUFG stands for Mitsubishi, which is a combination of the words mitsu and hishi. Mitsu means three. Hishi means water chestnut, and the word denotes a rhombus or diamond shape.  In partnership with Hitachi, MUFG has enabled passwordless authentication solutions across many of the bank’s apps and services.

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“As an early adopter of FIDO, we’ve seen significant business benefits and are completely on board with continuing to leverage the latest FIDO innovations with our partner, Nok Nok.”

– Rakan Khalid, Group Product Manager, Identity.

 

Intuit has delivered passwordless authentication across mobile applications and devices using Nok Nok’s S3 Suite. The results have reduced customer friction in their Intuit application experience.

Read The Nok Nok Intuit Case Study
Watch the FIDO Alliance Webinar: The Right Mix
Watch Marcio Mello discuss Intuit’s Nok Nok implementation at Identiverse 2019:
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“DOCOMO is a worldwide innovator in providing its millions of customers with simple and strong authentication backed by a standards-based approach.”

– Phillip Dunkelberger, President & CEO of Nok Nok Labs.

 

As one of Nok Nok’s earliest customers, NTT DOCOMO became the first carrier to offer a billing system that is enabled by FIDO, the first to offer a federated Identity system integrated FIDO, and was the first to offer a mobile device that authenticates via the iris biometric modality.

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“Traditionally, one of the biggest challenges of authentication systems has been to balance security with user experience. Due to the FIDO standard, we are confident that both elements work together seamlessly to provide customers with the highest security standards, along with a transparent and agile user experience.”

– Juan Francisco Losa, Global Technology & Information Security Officer.

Nok Nok partnered with banking leader, BBVA to improve the security and user experience of the bank’s mobile banking services through state-of-the-art biometric capabilities.

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“We can no longer rely on passwords for our financial or other sensitive transactions as they are weak, forgotten and easily hacked. We are very pleased with SoftBank’s decision to choose our standards-based authentication platform for their millions of customers.”

– Phillip Dunkelberger, President & CEO of Nok Nok Labs.

 

Millions of SoftBank’s mobile subscribers now have the ability to use biometrics for authentication through the mobile application “My SoftBank Plus”. With this implementation, SoftBank’s mobile users access data with the My SoftBank service using biometrics for a frictionless, simple and fast authentication experience.

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“Aflac is the first Japanese insurance provider to deploy a FIDO-certified solution, and we would like to continue collaborating with Nok Nok Labs to introduce it to banks, insurance industry and other industries.”

– Michihiko Ejiri, VP, Head of Portal Service Division, Service Technology Unit, Fujitsu Limited.

With the Nok Nok S3 Suite, Fujitsu has provided Aflac customers with strong authentication to their mobile claims payment application using any biometrics on their iOS and Android devices. The solution also provides Aflac and their customers with a scalable method to authenticate users that is interoperable with their existing security environments and reduces or eliminates the reliance on usernames and passwords.

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“For our customers, we only use the most secure products on the market that meet their requirements. Nok Nok perfectly aligns within our product portfolio and we are proud of the very trusted partnership.”

– Lukas Praml, CEO of YOUNIQX.

 

YOUNIQX Identity AG, the award-winning subsidiary of the Austrian State Printing House (OeSD) and Nok Nok partnered to deliver a electronic identity system (eID) for the citizens of the country of Liechtenstein.  This deployment represents the first time that Nok Nok’s FIDO platform has been used to deliver an eID.

FUN FACT
As of 2009 Liechtenstein’s per capita income was $139,100, the highest of any country in the world.

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“Nok Nok’s state-of-the-art, standards-based platform will deliver a tremendous user experience,”

– Steve Bell, Chief Technology Officer at Gallagher

When a horse called Joe took too much of a liking to using a car as a scratching post, owner Bill Gallagher Sr. devised a cunning electrical circuit that delivered a shock whenever the horse rocked the vehicle, and in doing so created a company.  Today, with passwordless authentication from Nok Nok, Gallagher is leading the IoT industry with innovative solutions that work in your office and in the outback.

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“Our Forgot Password flows were running at about 65%. After we rolled out FIDO by Nok Nok, our forgot passwords dropped to 7%.”

Michael Engan, T-Mobile

 

Using the Nok Nok S3 Suite, T-Mobile has become a leader in carrier adoption of passwordless authentication. Their solutions have reduced forgotten passwords and dramatically improved customer satisfaction.

Watch Michael Engan from T-Mobile talk about their implementation of Nok Nok’s S3 Authentication Suite at Identiverse 2019.

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