Managed identity is a service principal associated with resources in Azure. When we create a data factory in Azure, it automatically creates an app in Microsoft Entra. Suppose we want to connect Azure SQL using Azure Data Factory. In that case, we need to grant Azure Data Factory app access to the Azure SQL database like any other Microsoft Entra ID user. This makes access management more secure and easy.
Benefits of using managed identity authentication
1. You don’t need to manage credentials in code.
2. You can use managed identities to authenticate to any resource that supports Azure AD authentication, including your applications.
3. Managed identities can be used at no extra cost.
Types of managed identities
There are two types of managed identities:
1. System assigned managed identity – This is the identity that is associated with Azure resources like Azure Data Factory.
2. User-assigned managed identity – This identity is created and managed by user in Azure portal. Learn more about it here.
This article will cover how to create user-assigned managed identity in Azure.
1. Connect to Azure portal and click search for managed identity resource.
2. Provide a name for the UMI, review the options, and click ‘Review + create’.
That’s it. We have seen how to create user assigned managed identity in Azure.