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articles/security/fundamentals/key-management-choose.md

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title: How to choose the right key management solution
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titleSuffix: How to choose between Azure Key Vault, Azure Managed HSM, Azure Dedicated HSM, and Azure Payment HSM
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titleSuffix: How to choose between Azure Key Vault, Azure Managed HSM, Azure Cloud HSM, and Azure Payment HSM
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description: This article provides a detailed explanation of how to choose the right Key Management solution in Azure.
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services: security
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author: chenkaren
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# How to choose the right Azure key management solution
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Azure offers several solutions for cryptographic key storage and management in the cloud: Azure Key Vault (standard and premium offerings), Azure Managed HSM, Azure Cloud HSM, Azure Dedicated HSM, and Azure Payment HSM. It might be overwhelming for customers to decide which key management solution is right for them. This article helps customers navigate this decision-making process by presenting the range of solutions based on three considerations: scenarios, requirements, and industry.
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Azure offers several solutions for cryptographic key storage and management in the cloud: Azure Key Vault (standard and premium offerings), Azure Managed HSM, Azure Cloud HSM, and Azure Payment HSM. It might be overwhelming for customers to decide which key management solution is right for them. This article helps customers navigate this decision-making process by presenting the range of solutions based on three considerations: scenarios, requirements, and industry.
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To narrow down a key management solution, follow the flowchart based on common high-level requirements and key management scenarios. Alternatively, use the table based on specific customer requirements that follows it. If either provides multiple products as solutions, or if you want reassurance about choosing the right product, use a combination of the flowchart and table to make a final decision. If you're curious about what other customers in the same industry use, read the table of common key management solutions by industry segment. To learn more about a specific solution, follow the links at the end of the document.
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It also refers to these various key management use cases:
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- _Encryption at rest_ is typically enabled for Azure IaaS, PaaS, and SaaS models. Applications such as Microsoft 365; Microsoft Purview Information Protection; platform services in which the cloud is used for storage, analytics, and service bus functionality; and infrastructure services in which operating systems and applications are hosted and deployed in the cloud use encryption at rest. _Customer managed keys for encryption at rest_ is used with Azure Storage and Microsoft Entra. For highest security, keys should be HSM-backed, 3k or 4k RSA keys. For more information about encryption at rest, see [Azure Data Encryption at Rest](encryption-atrest.md).
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- _SSL/TLS Offload_ is supported on Azure Managed HSM, Azure Cloud HSM, and Azure Dedicated HSM. Customers have improved high availability, security, and the best price point on Azure Managed HSM for F5 and Nginx.
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- _Lift and shift_ refer to scenarios where a PKCS11 application on-premises is migrated to Azure Virtual Machines and running software such as Oracle TDE in Azure Virtual Machines. Lift and shift requiring payment PIN processing is supported by Azure Payment HSM. All other scenarios are supported by Azure Cloud HSM and Azure Dedicated HSM. Legacy APIs and libraries such as PKCS11, JCA/JCE, and CNG/KSP are only supported by Azure Cloud HSM and Azure Dedicated HSM.
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- _SSL/TLS Offload_ is supported on Azure Managed HSM and Azure Cloud HSM. Customers have improved high availability, security, and the best price point on Azure Managed HSM for F5 and Nginx.
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- _Lift and shift_ refer to scenarios where a PKCS11 application on-premises is migrated to Azure Virtual Machines and running software such as Oracle TDE in Azure Virtual Machines. Lift and shift requiring payment PIN processing is supported by Azure Payment HSM. All other scenarios are supported by Azure Cloud HSM. Legacy APIs and libraries such as PKCS11, JCA/JCE, and CNG/KSP are only supported by Azure Cloud HSM.
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- _Payment PIN processing_ includes allowing card and mobile payment authorization and 3D-Secure authentication; PIN generation, management, and validation; payment credential issuing for cards, wearables, and connected devices; securing keys and authentication data; and sensitive data protection for point-to-point encryption, security tokenization, and EMV payment tokenization. This also includes certifications such as PCI DSS, PCI 3DS, and PCI PIN. These are only supported by Azure Payment HSM.
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:::image type="content" source="./media/choosing-key-management-solutions/key-management-product-flow-chart.png" alt-text="Flow chart diagram that shows how to choose the right key management product based on requirements and scenarios." lightbox="./media/choosing-key-management-solutions/key-management-product-flow-chart.png":::
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## Compare other customer requirements
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Azure provides multiple key management solutions to allow customers to choose a product based on both high-level requirements and management responsibilities. There is a spectrum of management responsibilities ranging from Azure Key Vault and Azure Managed HSM having less customer responsibility, followed by Azure Dedicated HSM and Azure Payment HSM having the most customer responsibility.
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Azure provides multiple key management solutions to allow customers to choose a product based on both high-level requirements and management responsibilities. There is a spectrum of management responsibilities ranging from Azure Key Vault and Azure Managed HSM having less customer responsibility, followed by Azure Cloud HSM and Azure Payment HSM having the most customer responsibility.
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This trade-off of management responsibility between the customer and Microsoft and other requirements is detailed in the table below.
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Provisioning and hosting are managed by Microsoft across all solutions. Key generation and management, roles and permissions granting, and monitoring and auditing are the responsibility of the customer across all solutions.
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Use the table to compare all the solutions side by side. Begin from top to bottom, answering each question found on the left-most column to help you choose the solution that meets all your needs, including management overhead and costs.
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| | **AKV Standard** | **AKV Premium** | **Azure Managed HSM** | **Azure Dedicated HSM** | **Azure Cloud HSM** | **Azure Payment HSM** |
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| --- | --- | --- | --- | --- | --- | --- |
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| What level of **compliance** do you need? | FIPS 140-2 level 1 | FIPS 140-3 level 3, PCI DSS, PCI 3DS | FIPS 140-3 level 3, PCI DSS, PCI 3DS | FIPS 140-2 level 3, HIPAA, PCI DSS, PCI 3DS, eIDAS CC EAL4+, GSMA | FIPS 140-3 level 3, HIPAA, PCI DSS, PCI 3DS, eIDAS | FIPS 140-2 level 3, PCI HSM v3, PCI PTS HSM v3, PCI DSS, PCI 3DS, PCI PIN |
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| Do you need **key sovereignty**? | No | No | Yes | Yes | Yes | Yes |
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| What kind of **tenancy** are you looking for? | Multitenant | Multitenant | Single Tenant | Single Tenant | Single Tenant | Single Tenant |
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| What are your **use cases**? | Encryption at Rest, CMK, custom | Encryption at Rest, CMK, custom | Encryption at Rest, TLS Offload, CMK, custom | PKCS11, TLS Offload, code/document signing, custom | PKCS11, TLS Offload, code/document signing, custom | Payment PIN processes, custom |
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| Do you want **HSM hardware protection**? | No | Yes | Yes | Yes | Yes | Yes |
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| What is your **budget**? | $ | $$ | $$$ | $$$$ | $$$ | $$$$ |
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| Who takes responsibility for **patching and maintenance**? | Microsoft | Microsoft | Microsoft | Customer | Microsoft | Customer |
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| Who takes responsibility for **service health and hardware failover**? | Microsoft | Microsoft | Shared | Customer | Shared | Customer |
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| What kind of **objects** are you using? | Asym Keys, Secrets, Certs | Asym Keys, Secrets, Certs | Asym/Sym Keys | Asym/Sym Keys, Certs | Asym/Sym Keys, Certs | Local Master Key |
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| **Root of trust control** | Microsoft | Microsoft | Customer | Customer | Customer | Customer |
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| | **AKV Standard** | **AKV Premium** | **Azure Managed HSM** | **Azure Cloud HSM** | **Azure Payment HSM** |
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| --- | --- | --- | --- | --- | --- |
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| What level of **compliance** do you need? | FIPS 140-2 level 1 | FIPS 140-3 level 3, PCI DSS, PCI 3DS | FIPS 140-3 level 3, PCI DSS, PCI 3DS | FIPS 140-3 level 3, HIPAA, PCI DSS, PCI 3DS, eIDAS | FIPS 140-2 level 3, PCI HSM v3, PCI PTS HSM v3, PCI DSS, PCI 3DS, PCI PIN |
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| Do you need **key sovereignty**? | No | No | Yes | Yes | Yes |
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| What kind of **tenancy** are you looking for? | Multitenant | Multitenant | Single Tenant | Single Tenant | Single Tenant |
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| What are your **use cases**? | Encryption at Rest, CMK, custom | Encryption at Rest, CMK, custom | Encryption at Rest, TLS Offload, CMK, custom | PKCS11, TLS Offload, code/document signing, custom | Payment PIN processes, custom |
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| Do you want **HSM hardware protection**? | No | Yes | Yes | Yes | Yes |
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| What is your **budget**? | $ | $$ | $$$ | $$$ | $$$$ |
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| Who takes responsibility for **patching and maintenance**? | Microsoft | Microsoft | Microsoft | Microsoft | Customer |
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| Who takes responsibility for **service health and hardware failover**? | Microsoft | Microsoft | Shared | Shared | Customer |
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| What kind of **objects** are you using? | Asym Keys, Secrets, Certs | Asym Keys, Secrets, Certs | Asym/Sym Keys | Asym/Sym Keys, Certs | Local Master Key |
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| **Root of trust control** | Microsoft | Microsoft | Customer | Customer | Customer |
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## Common key management solution uses by industry segments
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| I am a service provider for financial services, an issuer, a card acquirer, a card network, a payment gateway/PSP, or 3DS solution provider looking for a single tenant service that can meet PCI and multiple major compliance frameworks. | Azure Payment HSM | Azure Payment HSM provides FIPS 140-2 Level 3, PCI HSM v3, PCI DSS, PCI 3DS, and PCI PIN compliance. It provides key sovereignty and single tenancy, common internal compliance requirements around payment processing. Azure Payment HSM provides full payment transaction and PIN processing support. |
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| I am an early-stage startup customer looking to prototype a cloud-native application. | Azure Key Vault Standard | Azure Key Vault Standard provides software-backed keys at an economy price. |
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| I am a startup customer looking to produce a cloud-native application. | Azure Key Vault Premium, Azure Managed HSM | Both Azure Key Vault Premium and Azure Managed HSM provide HSM-backed keys* and are the best solutions for building cloud native applications. |
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| I am an IaaS customer wanting to move my application to use Azure VM/HSMs. | Azure Dedicated HSM, Azure Cloud HSM | Azure Dedicated HSM and Azure Cloud HSM support SQL IaaS customers. They are the only solutions that support PKCS11 and custom noncloud native applications. |
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| I am an IaaS customer wanting to move my application to use Azure VM/HSMs. | Azure Cloud HSM | Azure Cloud HSM supports SQL IaaS customers. It is the only solution that supports PKCS11 and custom noncloud native applications. |
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## Learn more about Azure key management solutions
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**Azure Managed HSM**: A FIPS 140-3 Level 3 validated, PCI compliant, single-tenant HSM offering that gives customers full control of an HSM for encryption-at-rest, Keyless SSL/TLS offload, and custom applications. Azure Managed HSM is the only key management solution offering confidential keys. Customers receive a pool of three HSM partitions—together acting as one logical, highly available HSM appliance—fronted by a service that exposes crypto functionality through the Key Vault API. Microsoft handles the provisioning, patching, maintenance, and hardware failover of the HSMs, but doesn't have access to the keys themselves, because the service executes within Azure's Confidential Compute Infrastructure. Azure Managed HSM is integrated with the Azure SQL, Azure Storage, and Azure Information Protection PaaS services and offers support for Keyless TLS with F5 and Nginx. For more information, see [What is Azure Key Vault Managed HSM?](/azure/key-vault/managed-hsm/overview).
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**Azure Dedicated HSM**: A FIPS 140-2 Level 3 validated, PCI compliant, single-tenant bare metal HSM offering that lets customers lease a general-purpose HSM appliance that resides in Microsoft datacenters. The customer has complete ownership over the HSM device and is responsible for patching and updating the firmware when required. Microsoft has no permissions on the device or access to the key material, and Azure Dedicated HSM is not integrated with any Azure PaaS offerings. Customers can interact with the HSM using the PKCS#11, JCE/JCA, and KSP/CNG APIs. This offering is most useful for legacy lift-and-shift workloads, PKI, SSL Offloading, and Keyless TLS (supported integrations include F5, Nginx, Apache, Palo Alto, IBM GW and more), OpenSSL applications, Oracle TDE, and Azure SQL TDE IaaS. For more information, see [What is Azure Dedicated HSM?](/azure/dedicated-hsm/overview).
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**Azure Cloud HSM**: A FIPS 140-3 Level 3 validated single-tenant HSM offering that gives customers full control of an HSM for PKCS#11, offload SSL/TLS processing, certificate authority private key protection, transparent data encryption, including document and code signing, and custom applications. Customer has full administrative control of their HSM cluster. While customers own deployment and initialization of their HSM, Microsoft handles the service provisioning and hosting of the HSM. Azure Cloud HSM supports all existing Azure Dedicated HSM use cases, including using lift-and-shift workloads, PKI, SSL Offloading and Keyless TLS, OpenSSL applications, Oracle TDE, and Azure SQL TDE IaaS. Azure Cloud HSM is not integrated with any Azure PaaS offerings.
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**Azure Payment HSM**: A FIPS 140-2 Level 3, PCI HSM v3, validated single-tenant bare metal HSM offering that lets customers lease a payment HSM appliance in Microsoft datacenters for payments operations, including payment PIN processing, payment credential issuing, securing keys and authentication data, and sensitive data protection. The service is PCI DSS, PCI 3DS, and PCI PIN compliant. Azure Payment HSM offers single-tenant HSMs for customers to have complete administrative control and exclusive access to the HSM. Once the HSM is allocated to a customer, Microsoft has no access to customer data. Likewise, when the HSM is no longer required, customer data is zeroized and erased as soon as the HSM is released, to ensure complete privacy and security is maintained. For more information, see [What Is Azure Payment HSM?](/azure/payment-hsm/overview).
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- [Key management in Azure](key-management.md)
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- [Azure Key Vault](/azure/key-vault/general/overview)
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- [Azure Managed HSM](/azure/key-vault/managed-hsm/overview)
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- [Azure Dedicated HSM](/azure/dedicated-hsm/overview)
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- [Azure Cloud HSM](/azure/dedicated-hsm/overview)
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- [Azure Payment HSM](/azure/payment-hsm/overview)
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- [What is Zero Trust?](/security/zero-trust/zero-trust-overview)
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- [Azure Payment HSM](/azure/payment-hsm/overview)
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- [What is Zero Trust?](/security/zero-trust/zero-trust-overview)

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