New BeyondID Report Reveals Startling Gaps Between Identity Security Confidence and Practices

Most organizations say they're secure, but fail at fundamental safeguards

SAN FRANCISCO, July 30, 2025 /PRNewswire/ -- BeyondID, a leading AI-powered, Managed Identity Solutions Provider (MISP), today released a startling new report that exposes a widespread gap between organizations' confidence in their identity security programs and their actual security behaviors. In fact, organizations with the highest confidence in their identity security capabilities are implementing fewer best practices than their less confident counterparts.

The report, "The Confidence Paradox: Delusions of Readiness in Identity Security," reveals that while 74% of IT decision-makers rate their identity posture as "Established" or "Advanced," their actual security practices paint a dramatically different picture:

• Organizations self-identifying as "Advanced" follow only 4.7 out of 12 best practices – fewer than their "Established" peers, who follow 5.1
• Only 60% enforce multi-factor authentication (MFA) for all users – a basic security measure
• A mere 40% conduct regular user access reviews, leaving them vulnerable to unnecessary or outdated permissions
• Just 27% enforce a least privilege access model, despite it being a fundamental security practice
• Less than 3 in 10 organizations allocate more than 20% of their cybersecurity budget to identity security

"The confidence many organizations express simply isn't backed by operational rigor," said Arun Shrestha, CEO of BeyondID. "What we're seeing is systemic overconfidence; leaders believe they're prepared, but fail to enforce the foundational controls that would actually keep them secure."

The impact of these gaps is alarming. In the past 24 months:

• 72% of organizations experienced at least one attack; 46% have had multiple attacks
• 38% of those breaches stemmed from compromised employee credentials
• 38% suffered a phishing attack that led to unauthorized access
• 36% experienced a data breach involving identity credentials
• 34% have failed a compliance audit due to identity-related issues; 14% failed multiple times

While 85% are "extremely" or "very" confident in their ability to detect breaches within 24 hours, survey respondents reported that the top consequences of breaches were operational downtime (71%), reputational damage (45%), and financial loss (41%).

"If confidence equaled preparedness, these incidents would be far less common," added Shrestha. "This misalignment between perception and reality leaves organizations critically exposed. While breaches tied to compromised credentials remain widespread, identity security often remains underfunded and inconsistently managed."

The report outlines actionable recommendations for closing the gap between perceived and actual readiness, including:

• Implement foundational controls: Basic practices like MFA, regular access reviews, and least privilege models must be universal, not optional.
• Benchmark against objective standards: Self-assessment is clearly inadequate. Organizations need third-party validation of their security posture.
• Invest where risk begins: Identity is the new perimeter and budgets must reflect its critical importance.

These findings are based on a 2025 BeyondID survey of US-based IT leaders, including vice presidents, directors, and managers across industries including healthcare, finance, and technology. Download the full report and learn how to close the confidence gap here.

About BeyondID
BeyondID is a leading AI-powered, Managed Identity Solutions Provider (MISP). By delivering secure solutions and services that help manage digital identities, BeyondID enables organizations to control access to applications, data, networks, and devices while facilitating continuous regulatory compliance and ensuring seamless user experiences. BeyondID has created Secure Total Experiences for organizations like Inception Health, Johnson Financial Group, Biogen, Northern Trust, and Cone Health. More information about BeyondID can be found at www.BeyondID.com.

SOURCE BeyondID