Okta Aims to Kill Passwords with a Slew of New Services

Okta is out to boost its appeal among organizations with large, sprawling technology systems.
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Okta, Inc.  (OKTA) - Get Report is zeroing in on large organizations with a flurry of product updates announced this week.

Okta, the San Francisco-based identity management firm, unveiled a significant extension of its product offerings that includes a passwordless login option available later this year and a range of new platform services that businesses can add on to their accounts.

Okta shares closed 2.15% lower on Monday at $122.26, but have outperformed the market year-to-date with a 4% gain.

Called FastPass, the passwordless login tool is billed as a productivity-booster and added layer of security that particularly helps enterprises with large, sprawling technology systems. It uses information including biometrics and other device signals to eliminate passwords, the company said in a press release.

“IT teams are tasked with operating vast technology ecosystems made up of a diverse set of applications, operating systems, and devices, all focused on providing choice and flexibility to their workforces,” said Diya Jolly, Okta's product chief. “Going passwordless not only makes employees happy, but it can make them more secure by relying on stronger factors like biometrics."

Okta made the announcements as part of its annual developer conference and shareholder meeting that kicked off virtually this week.

The passwordless login tool is part of Okta Platform Services, also introduced on Tuesday. That offering consists of six technologies spanning security analytics, app integrations, device management and other functions, aimed at helping enterprises customize their use of Okta.

Each of the new offerings will be available in the fourth quarter of this year.

Okta, whose products sit at the intersection of access management and security, is seen by bullish investors as prime for growth as enterprises grow more complex.

The company regularly highlights its progress in attracting large organizations spending $100,000 or more annually on Okta products, and reported 1,467 such customers at the end of the fourth quarter.

The same quarter, its total revenue came in at $167.3 million, an increase of 45% year-over-year, along with a non-GAAP net loss of 1 cent.