Understanding Windows Integrated Authentication

If you examine the Authentication Mode dialog box, you will see a check box for Integrated Windows authentication. Like digest authentication, Integrated Windows authentication—previously known as Windows NT LAN Manager (NTLM)—uses a hashing technique to protect the password information. When a client program connects to a page that requires Integrated Windows authentication, the web server will send the client program a random number that the client program will use to encrypt the password. The client program will then return the username, domain, and encrypted password back to the server. The server, in turn, will send the information to the Windows domain controller, which will use the information to authenticate the user.