Yes – Passkeys are compatible with all modern authentication mechanisms in Microsoft 365 and can be integrated into existing security policies.
They work with:

  • Windows Hello for Business,
  • Android and iOS devices,
  • modern browsers (Edge, Chrome, Safari),
  • and FIDO2 security keys.

It is important that companies update their policies in Entra ID to specifically allow passkeys and control access to sensitive protected resources.
Read more about this in the Microsoft documentation: Enable passkeys (FIDO2) for your organization