[tptacek]

Given a servlet-only Java AuthN server with no interface other than "Authenticate", what is the likely attack that the AuthN server falls to but the HSM doesn't? From what I can tell, both the HSM and the Java servlet app have really just one major weak point, and it's shared: the management interface.

[ericb]

I may be reinventing something that is already done here, but it occurs to me you could also put canary accounts in your data (say one every 100 entries) and use it as a tripwire to alert ops the moment one is passed to the auth service.

[hackcasual]

I've gone with this approach for a niche social networking site I'm building. The biggest benefit an HSM provides is vendor wrapped keys, which does simplify key management and allows you to lean more on your vendor to support key material confidentially. In my case I didn't feel the added cost and complexity was worth it.