You can use Basic authentication to confirm a user's identity before granting access to a restricted Web site, directory, or file. Basic authentication requires a user to enter a valid Windows NT account user name and password into a dialog box rendered by the user's Web browser. The Web browser then attempts to establish an authenticated connection by transmitting the account information to your server. If your server rejects the information, the Web browser will repeatedly render the dialog box (the number of times depends on the Web browser's configuration) until the user enters valid information, or closes the dialog box.
Enabling Basic authentication does not automatically configure your Web server to authenticate users. Authentication will occur only under the following circumstances:
Important
Note To properly authenticate users with Basic authentication, Windows NT users accounts must have Log On Locally user rights. By default, user accounts on a Windows NT server domain controller are not granted the Log On Locally user rights. During the Basic authentication process your Web server "impersonates" each user as a local user, that is, as a user physically logged at the Web server. This means that you need to explicitly grant Log on Locally user rights to any account that you set up on your Web server or the domain controller used for access by your Web server. Use the Windows NT User Manager utility to configure user rights.
Note Windows NT Challenge/Response authentication takes precedence over Basic authentication. This means that if the user's Web browser supports both authentication methods, the browser will use Windows NT Challenge/Response authentication. To ensure that users are authenticated only with Basic authentication, clear the Windows NT Challenge/Response authentication check box.
Caution The Basic authentication method transmits user names and passwords across the network in an unencrypted form. A computer vandal could use a network monitoring tool to intercept this information. (Using your Web server's encryption features, in combination with Basic authentication, you can secure user account information transmitted across the network. For more information, see About Encryption.)