To stop the passkey setup prompt, exclude the onsite users from the Passkey registration campaign; registration campaigns cannot be excluded by IP address or Named Location.
Stop the passkey setup prompt
Sign in as an Authentication Policy Administrator, then:
- Go to Microsoft Entra admin center → Entra ID → Authentication methods → Registration campaign.
- Select Edit.
- Confirm Authentication method is set to Passkey.
- Under the campaign targets, add an appropriate onsite-users security group to Exclude.
- Select Save.
Campaign targeting supports users and groups, not network locations. An exclusion takes precedence if a user is both included and excluded.^1^
This exclusion follows the user everywhere—it cannot suppress the prompt only while the user is onsite. If those users should still receive the prompt when offsite, that location-dependent behavior is not supported by the registration campaign.
If onsite users must not register or use passkeys
Change the Passkey (FIDO2) authentication-method targeting, which is also user/group based:
- Go to Entra ID → Security → Authentication methods → Policies.
- Select Passkey (FIDO2).
- Open Enable and Target.
- Target only the groups that should be permitted to use passkeys, rather than All users.
- Review any passkey profiles assigned to those groups and save.
Passkey profiles define who may register and authenticate with passkeys and are assigned to groups, not IP ranges.^2^
This is different from suppressing a campaign nudge: removing users from the passkey policy prevents passkey registration/use, whereas excluding them from the campaign only removes the setup prompt.
If the prompt is actually an application sign-in MFA challenge
A Named Location can exclude the office from a Conditional Access MFA policy. Check the affected user’s Entra sign-in log first to identify the policy that applied; do not change the passkey campaign if Conditional Access generated the challenge.
For the applicable MFA policy, sign in as a Conditional Access Administrator and configure:
- Entra ID → Conditional Access → Policies.
- Open the policy requiring MFA or an authentication strength.
- Under Assignments → Network:
- Set Configure to Yes.
- Include: Any network or location.
- Exclude: the office Named Location, or All trusted networks and locations if that is intentionally broader.
- Set the policy to Report-only and test onsite and offsite sign-ins.
- After validating the result, change it to On.
Microsoft documents this pattern for excluding trusted corporate networks from an MFA Conditional Access policy.^3^ “Any network or location” includes every IP address, while the exclusion narrows the policy to locations outside the selected trusted network.^4^
Conditional Access requires an appropriate Microsoft Entra ID Premium license; passkey availability itself does not require an additional license.^2^
If MFA appears specifically during passkey registration
Conditional Access can separately target:
Target resources → User actions → Register security information
Such a policy can include Any location and exclude the trusted office location.^5^
However, that exclusion removes only the Conditional Access policy’s additional grant requirement. It does not:
- suppress the passkey registration-campaign prompt; or
- bypass the built-in requirement that users complete MFA within the previous five minutes before registering a passkey.^2^
Therefore, use the campaign’s user/group exclusion to stop the setup prompt.
Excluding an office network from MFA reduces protection for every scoped sign-in originating through that public egress address. Keep the exclusion narrow, verify the organization’s fixed public egress ranges, and prefer phishing-resistant MFA or device-based controls where practical rather than treating network location alone as sufficient trust.
References
- Run a registration campaign to set up a passkey or Microsoft Authenticator
- How to enable passkeys (FIDO2) in Microsoft Entra ID
- Require multifactor authentication for all users
- Conditional Access: Network assignment
- Protect security info registration with Conditional Access policy