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Identity-Aware Proxies: A Better Alternative to the VPN?

Waldemar Kindler 6 min read
Identity-Aware Proxies: A Better Alternative to the VPN?

What Is an Identity-Aware Proxy?

An Identity-Aware Proxy (IAP) is a security solution that controls access to resources based on the user’s identity, role, and the context of the request - such as location or device posture. Instead of granting access based on network location (as VPNs do), an IAP focuses on who the user is and what permissions they hold. It uses centralized authentication and access policies to make sure only verified, trusted users reach specific resources - even when working remotely.

Put simply: IAP is built on the principle of Zero Trust Security - “never trust, always verify”.

How Does an IAP Work?

  1. Authentication: Before granting access to any resource, the IAP verifies the user’s identity through multi-factor authentication (MFA) and single sign-on (SSO). This ensures the request comes from the right person.
  2. Authorization: The IAP checks the user’s permissions and roles. Based on predefined access policies, it decides whether that user may reach specific applications or resources.
  3. Contextual Checks: An IAP goes beyond simple identity checks and factors in the context of the request - the device used or the location, for example. If a request comes from a suspicious location, the IAP can demand additional security steps or deny access outright.
  4. Granular Control: Unlike a VPN, which typically grants access to an entire network, an IAP grants access only to specific applications or resources. Companies can define exactly which parts of the infrastructure a given user may touch - reducing the risk of unauthorized activity.

The Problems with VPNs

VPNs served as the foundation for secure remote access for decades, but today their weaknesses stand out:

  1. Broad Network Access: Once a VPN connection is established, users typically gain wide network access. That expands the attack surface and raises the risk of incidents, especially when credentials are stolen or a device is infected with malware.

  2. Scalability Problems: VPNs are hard to scale, especially when many employees, contractors, or partners connect from a wide range of locations and devices. Managing those connections becomes complex and prone to bottlenecks.

  3. Security Gaps: VPNs offer only limited visibility into user behavior once someone is connected to the network. If a user’s credentials are stolen, an attacker can move around the network freely without being detected right away.

  4. User Experience: VPNs can slow down internet performance because all traffic is encrypted and routed through central servers. For remote workers who depend on constant access, that quickly becomes frustrating.

IAP vs. VPN: The Key Differences

AttributeVPNIdentity-Aware Proxy (IAP)
Access controlBased on network locationBased on identity and context
Network accessBroad network accessGranular, application-scoped access
ScalabilityHard to scaleEasy to scale with cloud and mobile devices
User experienceSlower due to traffic redirectionFaster, seamless application access
Security approachPerimeter-based securityZero Trust, identity-centric
VisibilityLimited insight into user activityDetailed logs and monitoring

Advantages of Identity-Aware Proxies

  1. Stronger Security: IAPs are built on the Zero Trust model. Only verified identities can reach specific applications. Identity checks happen continuously.

  2. Granular Access Control: Unlike VPNs, IAPs give precise control over which resources each user can access. That shrinks the attack surface, even when credentials are lost or stolen.

  3. Seamless Integration: IAPs integrate cleanly with modern identity providers such as OAuth, SAML, and Google Identity to deliver a smooth, secure experience.

  4. Better User Experience: IAPs do not require every packet to flow through central servers, which makes application access faster and more reliable - especially for globally distributed remote teams.

  5. Visibility and Compliance: IAPs produce detailed logs of user activity that are invaluable for audits, compliance, and threat detection. Administrators can see exactly who accessed which resource and when. Some solutions understand the protocols of the resources they protect - databases, for example - which produces even richer audit logs.

  6. Cost Efficiency: Because IAPs do not require heavy VPN infrastructure or data-intensive traffic redirection, they can be more cost-effective for growing organizations, especially those moving to the cloud.

When to Choose IAP Over VPN

VPNs may still make sense in specific environments or for particular use cases, but Identity-Aware Proxies are the better fit for organizations built on cloud technology and hybrid work models. If your organization needs secure, scalable, and easy-to-manage remote access, an IAP solution is the right call.

Use an IAP when:

  • Your staff works from many different locations.
  • You need secure, granular access to specific applications.
  • You want to adopt a Zero Trust security model.
  • You want to shrink your network’s attack surface and move beyond perimeter-based security.

What Are the Options?

There are many ways to implement an IAP. Here is a selection of options worth considering:

For Azure Users: Entra Application Proxy

For teams committed to the Microsoft ecosystem, Entra Application Proxy is a solid choice. It lets customers publish on-prem applications without running a DMZ, while adding SSO and granular security policies.

The Best Option for Simple, Secure Access to IT Infrastructure: Teleport

For teams that want Zero Trust to reach beyond web applications, Teleport stands out. It natively supports a wide range of application protocols, delivers a clean user experience, and provides deep auditing capabilities. Teleport also ships with an integrated privileged access management solution. Available as a cloud service or self-hosted.

The Open Source Option: Ory OAuthkeeper

If you want an OSS solution that gives you full flexibility, take a look at Ory OAuthkeeper. It ensures every web call is authenticated, and can optionally handle authorization as well. The result is a lightweight way to add SSO to applications that do not support it natively.

Conclusion

As organizations keep modernizing and shifting to cloud technology, the limits of VPNs become ever more obvious. Identity-Aware Proxies offer a more secure, more scalable, and more efficient path to remote access, especially for organizations built around the Zero Trust principle. With an identity-centric approach, IAPs deliver granular access, better visibility, and a seamless user experience - a solid alternative to traditional VPNs.

For any organization looking to strengthen its security architecture while keeping resource access fast and reliable, Identity-Aware Proxies are the future.