How do passkeys reduce operational costs for organizations?

Vincent Delitz

Vincent

Created: January 8, 2025

Updated: April 25, 2025

introducing passkeys large scale overview

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Learn how to implement passkeys as phishing-resistant MFA for large-scale consumer deployments and boost security as well as user convenience.

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How Do Passkeys Reduce Operational Costs for Organizations?#

Passkeys are not only a secure and user-friendly authentication method but also a cost-effective solution for enterprises. Here’s how they reduce operational costs:

how do passkeys reduce operational costs

1. Eliminating SMS OTP Expenses#

  • SMS OTPs come with per-message fees, especially for international users. Passkeys remove this dependency, reducing authentication costs significantly.
  • Enterprises can save up to 90% of SMS-related expenses by transitioning to passkeys.

2. Lowering Account Recovery Costs#

  • Traditional account recovery methods, such as phone or email verification, are labor-intensive and require support staff.
  • Passkeys streamline recovery through automated cloud-based solutions, reducing the need for costly manual interventions.

3. Reducing Fraud Costs#

  • Passkeys are immune to common attack vectors like phishing and credential stuffing, which can lead to costly breaches.
  • Eliminating these vulnerabilities reduces financial losses from fraud and data breaches.
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4. Decreasing Customer Support Workload#

  • Issues like failed SMS deliveries or forgotten passwords generate support tickets, increasing operational overhead.
  • Passkeys provide a seamless login experience, significantly reducing the volume of support requests.

5. Efficient Onboarding and Authentication#

  • Passkeys simplify the authentication process with device-based biometrics or PINs, speeding up user logins and reducing friction.
  • This efficiency enhances user satisfaction while lowering abandonment rates, indirectly benefiting the organization’s bottom line.

6. Long-Term Cost Benefits#

By adopting passkeys, organizations achieve a sustainable reduction in operational costs while improving security, user experience, and compliance. This makes passkeys an ideal investment for cost-conscious enterprises.

Read the full article#

introducing passkeys large scale overview

Read the full article

Learn how to implement passkeys as phishing-resistant MFA for large-scale consumer deployments and boost security as well as user convenience.

Read the full article

Already read by 5,000+ enterprise security leaders.

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