Passwords continue to be one of the biggest liabilities in enterprise identity and access management (IAM). While much of the conversation focuses on security risks and phishing, there’s another dimension that’s often overlooked: cost.
The Hidden Cost of Passwords
In large organizations, password-related issues quietly drain IT and IAM budgets through:
- Helpdesk tickets for password resets
- Lost productivity due to lockouts
- MFA fatigue from repeated prompts
- Audit failures tied to weak authentication
- Infrastructure overhead to support legacy authentication
These hidden costs add up. Some estimates suggest 20–50% of helpdesk workloads are still password-related.
What’s the Alternative?
Enter passkeys phishing-resistant credentials based on the FIDO2 standard.
Unlike traditional MFA, passkeys eliminate the shared secret entirely, making them resilient to phishing, credential stuffing, and man-in-the-middle attacks.
For IAM leaders, passkeys offer an even bigger advantage:
- No code changes to your existing apps
- No need to replace your IAM platform
- Support for gradual, low-risk rollouts alongside your current stack
Watch the Full Session On-Demand
We recently hosted a 30-minute live session where we broke down the real costs of passwords and showed how enterprises are replacing them with phishing-resistant passkeys without code changes or vendor lock-in.
You can watch the full webinar anytime:
📺 Watch The Real Costs of Passwords – On-Demand
You’ll learn:
- The real operational cost structure of passwords
- What makes passkeys phishing-resistant and cost-effective
- How to roll them out in phases, without disruption
- Why frameworks like DORA, NIS2, and NYDFS are accelerating passkey adoption
- How to reduce user friction while strengthening security posture
📄 Download the full passkey implementation guide
Final Thoughts
The cost of passwords isn’t just technical, it’s financial, operational, and regulatory.
Passkeys offer a rare combination: better security, lower costs, and easier compliance.
With frameworks like DORA and NIS2 now in force, moving beyond passwords isn’t just a security improvement. It’s a strategic necessity.