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Active Directory Federation Services (AD FS) can provide single sign-on capabilities to organizations that are utilizing AD DS. It allows those with an Active Directory account to use that account on applications that are outside the boundaries of their Active Directory (for example, a web application hosted by a business partner), or applications that don’t rely on Active Directory accounts for authentication at all. By creating a federation (the sharing of identity information), the user can be authenticated via his company’s Active Directory and can then be authenticated to the business partner’s web application with a claim. The business partner simply has to configure their web application to trust the incoming claims.