What is the primary difference between Federated Identity and Single Sign-On (SSO)?

• A. Federated Identity allows access across different organizations
• B. SSO allows access across different organizations
• C. Federated Identity is restricted to one organization
• D. SSO requires multiple logins for different systems

Answer: (A)

The primary distinction between Federated Identity and Single Sign-On (SSO) lies in the broader scope of Federated Identity, which enables access across different organizations. In a Federated Identity system, multiple organizations collaborate, allowing users from one organization to access services and resources in another organization seamlessly. This is achieved through a trust relationship between the organizations' identity providers.

In contrast, Single Sign-On (SSO) focuses primarily on allowing users to authenticate once and gain access to multiple applications or systems within a single organization without needing to log in separately for each application. SSO enhances user convenience by reducing the number of credentials a user must manage but does not extend this access across different organizations.

Therefore, the correct answer emphasizes that Federated Identity is about inter-organizational access, which sets it apart from the intra-organizational focus of SSO. This critical understanding helps clarify how identity management frameworks operate within and between organizational boundaries.