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AI Identity Management: risks, benefits and governance gaps for AI agents

Article Highlights:
  • 91% of organizations use AI agents with about five use cases on average
  • 84% report productivity gains from AI agents
  • Data privacy and security are top concerns
  • 85% view IAM as vital for AI adoption
  • Only 10% have a mature strategy for non-human identities
  • Need for rapid provisioning and automated revocation for NHIs
  • Recommendation: centralized governance with CISO, CIO and legal
  • Implement dedicated logging and visibility for AI agents
  • Apply secure-by-design to APIs and authentication
  • Treat digital identities with the same rigor as human workforce
AI Identity Management:  risks, benefits and governance gaps for AI agents

Introduction

AI identity management: Okta-commissioned research summarizes how rapid AI agent adoption outpaces security, affecting access, privacy and governance practices.

Context

Okta asked AlphaSights to survey 260 executives (CTOs, CISOs, CIOs and peers) across nine countries to map AI agent usage, benefits and concerns.

Why AI identity management matters

Quick definition: AI identity management covers provisioning, permissioning and governance for non-human identities used by AI agents to access systems and data.

Key findings

The study highlights several practical insights:

  • 91% of organizations use AI agents, averaging about five use cases per organization
  • 84% report productivity gains; 60% cite cost savings
  • Data privacy (68%) and security (60%) are top concerns
  • 85% view IAM as vital for AI adoption
  • Only 10% have a well-developed roadmap for managing non-human identities

The challenge

AI agents need broad, sometimes privileged access, short-lived credentials and nonstandard authentication, increasing exposure and complicating audits.

Solution / Practical approach

Recommended actions from the report include:

  1. Make IAM for NHIs a priority with rapid provisioning and automatic revocation
  2. Build dedicated visibility and logging for agents
  3. Create centralized governance with CISO, CIO, legal and data leaders
  4. Apply secure-by-design principles for APIs, authentication and RAG workflows

"In my experience, successful AI adoption and integration require a clear strategy aligned with business outcomes … Avoid generic ‘AI for AI’s sake’ initiatives."

Vice President, Technology, Canada

Conclusion

Okta's commissioned research shows broad AI agent adoption but a governance gap; strengthening identity controls, visibility and cross-functional governance is essential to reap benefits safely.

 

FAQ

What is AI identity management?

It is the process of provisioning, permissioning and governing non-human identities used by AI agents to access systems and data.

Why is IAM vital for AI agents?

Because agents often require temporary privileged access; IAM prevents prolonged exposure through granular, time-bound permissions.

What top risks did the Okta study find?

The main concerns are data privacy and security, driven by limited visibility and immature governance for non-human identities.

What practical steps does the report recommend?

Prioritize IAM for NHIs, add dedicated logging, adopt centralized governance and follow secure-by-design for APIs and RAG.

Introduction AI identity management: Okta-commissioned research summarizes how rapid AI agent adoption outpaces security, affecting access, privacy and [...] Evol Magazine
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