I was setting up an Azure FileShare recently and wanted to connect with the storage account key to configure the initial permission and folder structure.

When trying to added the connect account details I was getting the below response.

CMDKEY: Credentials cannot be saved

The issue was due to one group policy that was blocking saved passwords. The specific policy setting was Network access: Do not allow storage of passwords and credentials for network authentication

To fix the issue I had to create a new GPO that would change the policy setting for the device I was connecting from. Setting to Disabled.

Once this was updated the command then completed successfully.

After getting the credential to successfully add I still couldn’t map the shared.

I was getting New-PSDrive : The specified network password is not correct

After a bit of troubleshooting the issue was down to having NTLM v2 disabled on the security setting on the Azure FileShare.

The settings is under storage account > select the storage > Data storage > File shares > Security.

Under security check that NTLM v2 is enabled under Authentication mechanisms.

After enabling NTLM v2, I was able to connect to the Azure FileShare using the storage account key.