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Refine authentication method descriptions and improve clarity in MCP server connection instructions
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articles/azure-functions/functions-mcp-foundry-tools.md

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@@ -41,10 +41,10 @@ This table summarizes the currently supported options for authenticating your ag
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| Method | Description | Use case | Additional setup | Functions supports |
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| ------ | ----------- | -------- | ---------------- | ------------------- |
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| **Key-based**<sup>*</sup> | Agent authenticates by passing a shared [function access key](./function-keys-how-to.md) in the request header. This is the default authentication for HTTP endpoints in Functions. | During development or when the MCP server doesn't require Microsoft Entra authentication. | None | Yes |
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| **Microsoft Entra** | Agent authenticates using either its own identity (*agent identity*) or the shared identity of the Foundry project (*project managed identity*). | Agent identity supports production scenarios, but shared identity should be limited to development. | [Disable key-based authentication](functions-mcp-tutorial.md?tabs=mcp-extension#disable-key-based-authentication) and [configure built-in server authorization and authentication](functions-mcp-tutorial.md?tabs=mcp-extension#enable-built-in-server-authorization-and-authentication). | Project managed (shared) identity |
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| **OAuth identity passthrough** | Agent prompts users to sign in and authorize access, using the provided token to authenticate. | Production when each user must authenticate with their own identity and user context must be persisted. | [Disable key-based authentication](functions-mcp-tutorial.md?tabs=mcp-extension#disable-key-based-authentication) and [configure built-in server authorization and authentication](functions-mcp-tutorial.md?tabs=mcp-extension#enable-built-in-server-authorization-and-authentication). | Yes |
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| **Unauthenticated access** | Agent makes unauthenticated calls. | During development or when your MCP server accesses only public information. | [Disable key-based authentication](functions-mcp-tutorial.md?tabs=mcp-extension#disable-key-based-authentication). | Yes |
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| **Key-based**<sup>*</sup> | Agent authenticates by passing a shared [function access key](./function-keys-how-to.md) in the request header. This method is the default authentication for HTTP endpoints in Functions. | Use during development or when the MCP server doesn't require Microsoft Entra authentication. | None | Yes |
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| **Microsoft Entra** | Agent authenticates using either its own identity (*agent identity*) or the shared identity of the Foundry project (*project managed identity*). | Use agent identity for production scenarios, but limit shared identity to development. | [Disable key-based authentication](functions-mcp-tutorial.md?tabs=mcp-extension#disable-key-based-authentication) and [configure built-in server authorization and authentication](functions-mcp-tutorial.md?tabs=mcp-extension#enable-built-in-server-authorization-and-authentication). | Project managed (shared) identity |
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| **OAuth identity passthrough** | Agent prompts users to sign in and authorize access, using the provided token to authenticate. | Use in production when each user must authenticate with their own identity and user context must be persisted. | [Disable key-based authentication](functions-mcp-tutorial.md?tabs=mcp-extension#disable-key-based-authentication) and [configure built-in server authorization and authentication](functions-mcp-tutorial.md?tabs=mcp-extension#enable-built-in-server-authorization-and-authentication). | Yes |
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| **Unauthenticated access** | Agent makes unauthenticated calls. | Use during development or when your MCP server accesses only public information. | [Disable key-based authentication](functions-mcp-tutorial.md?tabs=mcp-extension#disable-key-based-authentication). | Yes |
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<sup>*</sup>Default for Functions-hosted MCP servers.
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@@ -92,11 +92,11 @@ For more information, see [Work with access keys in Azure Functions](function-ke
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Both **Agent Identity** and **Project Managed Identity** use Microsoft Entra authentication. Currently, Functions only supports **Project managed identity**, which requires your server to use built-in authentication and authorization.
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1. Connect a user-assigned managed identity from your function app to your Foundry project. If you don't have a user-assigned managed identity, you must [first create one](../app-service/overview-managed-identity.md#add-a-user-assigned-identity).
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1. Connect a user-assigned managed identity from your function app to your Foundry project. If you don't have a user-assigned managed identity, [first create one](../app-service/overview-managed-identity.md#add-a-user-assigned-identity).
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1. In the [Azure portal](https://portal.azure.com), search for `Foundry` and in Microsoft Foundry select your Foundry resource from **All resources**.
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1. In the [Azure portal](https://portal.azure.com), search for `Foundry`. In Microsoft Foundry, select your Foundry resource from **All resources**.
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1. In **Resource management** > **Identity** > **User assigned** select **+ Add**, select the user-assigned managed identity used by your function app, and then select **Add**.
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1. In **Resource management** > **Identity** > **User assigned**, select **+ Add**. Select the user-assigned managed identity used by your function app, and then select **Add**.
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1. Select the newly added identity and copy the **Client ID** value.
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### [MCP extension server](#tab/mcp-extension/key-based)
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When you are using the default key-based authentication, no changes are required.
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When you use the default key-based authentication, no changes are required.
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### [MCP extension server](#tab/mcp-extension/entra)
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| **Authentication** | The authentication method to use. | `Key-based` |
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| **Credential** | The key-value pair to authenticate with your function app. | `x-functions-key`: `aaaaaaaa-0b0b-1c1c-2d2d-333333333333` |
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1. Select **Connect** to create a connection to your MCP server endpoint. You should now see your server name listed under **Tools**.
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1. Select **Connect** to create a connection to your MCP server endpoint. You see your server name listed under **Tools**.
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1. Select **Save** to save the MCP tool configuration in your agent.
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| **Type** | The identity type the agent uses to authenticate. | `Project Managed Identity` |
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| **Audience** | The Application ID URI of your function app's Entra registration. This value tells the identity provider which app the token is intended for. | `api://00001111-aaaa-2222-bbbb-3333cccc4444` |
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1. Select **Connect** to create a connection to your MCP server endpoint. You should now see your server name listed under **Tools**.
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1. Select **Connect** to create a connection to your MCP server endpoint. You see your server name listed under **Tools**.
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1. Select **Save** to save the MCP tool configuration in your agent.
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