Microsoft has just announced a new feature for Edge aimed at solving a fairly common (and risky) problem: how to share passwords within a company without them ending up in the wrong hands. This new tool, called secure password implementation, is now generally available and will roll out this week to users of Microsoft Edge for Business.
The idea is simple but powerful: allow employees to use shared passwords without needing to see or copy them. This helps avoid mistakes like sending them by email, jotting them down on sticky notes, or accidentally forwarding them to someone who shouldn’t have access.
This feature is intended for businesses with Microsoft 365 Business Premium, E3, or E5 subscriptions and can be managed by global or perimeter security administrators.
Microsoft explains it this way:
"In many organizations today, employees often resort to sharing passwords via sticky notes or emails. This not only exposes sensitive credentials to unintended recipients, but also increases the risk of those passwords being forwarded or misused"
With this new functionality, administrators can distribute encrypted passwords to employees who need them. The credentials are delivered directly to the user’s device, allowing them to log in to assigned services without ever seeing or typing the password. Convenient, isn’t it?
How Do Administrators Manage Secure Passwords in Edge?
The secure password feature is integrated into the Microsoft Edge management tools within the Microsoft 365 Admin Center. This means administrators can easily configure the browser using policies, allowing them to send encrypted passwords only to the user groups that truly need them.
Secure Password Implementation in the M365 Admin Center (Microsoft)
This feature enhances the familiar Autofill experience in Edge by providing administrators with a simple interface to add, update, or remove shared passwords as needed.
Once everything is configured by the administrator, the passwords are automatically loaded into users’ work profiles (on managed Windows devices). From there, they are autofilled when accessing the corresponding sites, with no need for users to type anything. Everything is set up for fast and secure access.
What’s interesting is that although the passwords are used in Edge, they cannot be viewed, edited, deleted, or exported from the password manager (unless the website itself allows it). This prevents anyone from copying or accidentally sharing them.
That said, there are still ways to access them using the browser’s developer tools. But don’t worry—administrators can easily block that access by applying a policy called DeveloperToolsAvailability.
Perimeter Password Manager (Microsoft)
Passwords are protected with encryption powered by the Microsoft Information Protection SDK. The best part is that this encryption is directly tied to Entra identities (formerly known as Azure AD), meaning all access control is managed automatically according to your organization’s security policies—no need to manually handle keys.
Microsoft puts it succinctly:
“This integration brings the power of Microsoft's data protection platform directly into the Edge Management experience, giving administrators a seamless way to deploy credentials securely while aligning with Zero Trust principles and compliance requirements”
Additionally, by directly integrating this protection SDK into Edge for Business, security is extended all the way to the user’s device. In other words, your data is protected from the moment it’s configured to the moment it’s used.
Read more: Microsoft Tests the New Copilot Mode in the Edge Browser
How to Get Started
If you're an administrator and want to activate the secure password feature, start by going to the Microsoft 365 Admin Center, locate the perimeter management service, and select a configuration policy (it can be an existing one or a new one).
Once inside, go to the “Customization Settings” tab and then access the “Secure Password Implementation” option. That’s where it all begins.