AI-102 Implement generative AI solutions Practice Question
Your company wants to build a custom Copilot for customer support using Microsoft Copilot Studio. The support team needs to query a backend CRM system securely using the Copilot. Which authentication method should you configure for the custom connector to the CRM?
⚠ Common exam trap
Candidates often choose API key authentication because it seems simpler, but Microsoft Copilot Studio connectors for secure backend systems require OAuth 2.0 to support user delegation and token lifecycle management, not static keys.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Microsoft Entra ID OAuth 2.0
Microsoft Entra ID OAuth 2.0 is the correct authentication method because it provides secure, token-based delegated access to the backend CRM system without exposing long-lived credentials. Copilot Studio connectors that require user context and secure resource access should use OAuth 2.0 with Microsoft Entra ID, which supports modern authentication flows like authorization code grant and can enforce conditional access policies.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Microsoft Entra ID OAuth 2.0
Why this is correct
OAuth 2.0 with Microsoft Entra ID provides secure token-based authentication.
- ✗
API key authentication
Why it's wrong here
API keys are less secure and not recommended for production connectors.
- ✗
Basic authentication
Why it's wrong here
Basic authentication sends credentials in plain text, which is insecure.
- ✗
Client certificate authentication
Why it's wrong here
Client certificates are not directly supported by Copilot Studio connectors.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This AI-102 practice question is part of Courseiva's free Microsoft certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the AI-102 exam.