TLDR
- Microsoft ($MSFT) closed at $477.40 as it introduced the Enterprise Exposure Graph for enhanced hybrid threat detection.
- The graph maps complex interconnections between devices and users to reveal potential multi-layered cyberattack paths.
- Windows 365 Cloud PCs to get stricter defaults, blocking clipboard, USB, drive, and printer redirections to reduce data theft risk.
- Microsoft 365 tenants will see legacy protocol blocking from July, boosting protection for SharePoint, OneDrive, and Office files.
- MSFT stock has gained 13.7% year-to-date, with a 155.33% five-year return, outperforming the S&P 500.
Microsoft Corporation (NASDAQ: MSFT) closed at $477.40 on June 20, 2025, down 0.59% for the day. The tech giant made headlines with the launch of its Enterprise Exposure Graph, a sophisticated tool designed to strengthen defenses against complex hybrid cyberattacks that target both on-premises and cloud systems.
Enterprise Exposure Graph Redefines Threat Detection
Microsoft’s new graph-powered solution forms part of its Defender XDR and Security Exposure Management offerings. As businesses operate in increasingly hybrid environments, attackers exploit fragmented defenses between on-premises and cloud infrastructure. This graph technology maps critical connections between devices, users, and sensitive data such as session cookies.
Microsoft has continuously observed hybrid attacks leading to espionage, business interruption, and ransomware deployment that involve threat actors moving from on-premises environments to the cloud. Many organizations manage their resources across different realms, including… pic.twitter.com/jJ64gIUTqA
— Microsoft Threat Intelligence (@MsftSecIntel) June 20, 2025
This innovation allows Security Operations Center (SOC) teams to visualize and respond to threats more effectively. A typical hybrid attack involves stealing browser session cookies from an unjoined on-premises device to bypass multi-factor authentication and infiltrate cloud services like Entra ID. With the Exposure Graph, such complex movements are traced and correlated, providing a single, actionable incident report.
Bridging Security Gaps in Hybrid Environments
Traditional SIEM and XDR platforms often miss attacks that span cloud and on-premises boundaries. Microsoft’s integrated approach closes these detection gaps by scanning secrets and correlating cross-realm signals. The graph can identify scenarios where a compromised device holds valid session cookies that can unlock cloud resources, enabling attackers to escalate privileges undetected.
Tighter Security Defaults for Windows 365 Cloud PCs
Microsoft also announced new default security settings for Windows 365 Cloud PCs set to roll out in the second half of 2025. These changes disable clipboard, drive, USB, and printer redirection by default, minimizing risks of data exfiltration or malware delivery via peripheral devices.
While USB redirection is restricted, common devices like mice, keyboards, and webcams remain unaffected. Newly provisioned host pools in Azure Virtual Desktop will also adopt these defaults. Intune Admin Center notifications will guide IT administrators in managing exceptions via policies.
The tech giant has strengthened virtualization-based security features on Windows 11 Cloud PCs since May 2025, including Credential Guard and hypervisor-protected code integrity, adding another layer of defense against kernel-level attacks.
Blocking Legacy Protocols Across Microsoft 365
Starting July 2025, Microsoft 365 tenants will face blocked access via outdated authentication protocols to OneDrive, SharePoint, and Office files. Legacy browser authentication using RPS and FPRPC will be disabled. ActiveX controls in Office apps and Windows 365 versions have also been shut off since January 2025 to curb security vulnerabilities.
Teams meetings will receive a screenshot-blocking feature rollout, protecting sensitive content. Microsoft Outlook will block risky file types like .library-ms and .search-ms beginning in July.