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How Azure Active Directory opens new authentication risks

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It’s been common knowledge for years that local Windows Active Directory networks are vulnerable to NTLM relay and pass-the-hash attacks that can allow attackers to move laterally through networks and access additional machines and resources. Since some of these attacks exploit design decisions in the authentication protocols used inside Windows networks, they cannot be simply patched by Microsoft with changes in software. Organizations need to take defense-in-depth measures that involve stricter configurations and additional controls to protect themselves.

With the adoption of hybrid networks, where parts of the networks are local and parts are in the cloud, enterprises now rely on services such as Azure Active Directory (Azure AD) to allow its various machines to authenticate to each other. But Azure AD is quite different from local AD as it uses different protocols and has new features that expand the networking possibilities of organizations. However, according to presentations last month at the Black Hat USA security conference, it also offers new possibilities for attackers.

From pass-the-hash to pass-the-certificate

Pass-the-hash is an attack that involves hackers extracting hashed versions of locally stored credentials from a compromised machine and using them to authenticate to other machines. NTLM relay is a method that involves intercepting authentication requests between a client and a server and relaying the challenges and responses between the two so that the attacker gets authenticated instead of the client. These attack methods are commonly used by sophisticated hacker groups in targeted attacks.

In Azure AD, however, traditional pass-the-hash and relay attacks don’t work because Azure AD doesn’t use NTLM or Kerberos, which are the standard authentication protocols on Windows networks. Instead, it uses OAuth, SAML, OpenID and a new protocol called NegoEx, which is an extension of the standardized Generic Security Services Application Program Interface (GSSAPI) that Kerberos is based on.

According to Microsoft researcher Mor Rubin, NegoEx will be enabled on any device that is joined to Azure AD and is the mechanism through which different Azure AD joined devices will authenticate to each other. The NegoEx authentication handshake relies on a client certificate that is unique for each user and is issued by Azure AD with a validity of one hour.

At Black Hat, Rubin demonstrated how a relay attack can be performed successfully on the NegoEx handshake, in a similar way in which it can be performed against NTLM. He then showed how an attacker can obtain the peer-to-peer client certificate using a similar method and then use that certificate to authenticate to other machines. In other words, these are equivalents of NTML relay and pass-the-hash, but in the context of Azure AD joined devices despite the difference in protocols used.

Copyright © 2022 IDG Communications, Inc.

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