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API Governance

The Security Challenge: Shadow MCP Servers & API Sprawl

OWASP Risk: MCP-09 (Shadow MCP Servers)

As your organization grows, teams independently deploy MCP servers, creating dangerous blind spots:

  • Shadow MCP servers - Teams deploy unauthorized servers without security review
  • Discovery problem - Security team doesn't know what MCP servers exist
  • Documentation scattered - Each team maintains their own docs
  • Duplicate servers - Two teams build the same MCP tools
  • No ownership tracking - Who maintains the weather MCP server?
  • Compliance blind spots - Can't prove all MCP servers meet security standards
  • Unvetted access - Shadow servers may expose sensitive data without proper controls

You need centralized API governance to discover all MCP servers and prevent shadow deployments.


Fix: Register MCP Servers in API Center

Register your MCP servers in Azure API Center:

./scripts/1.4-fix.sh

This registers:

  • Sherpa MCP Server - Weather, trails, and gear recommendations
  • Trails MCP Server - Trail information and permit management
What is Azure API Center?

API Center provides a centralized catalog for all your APIs and MCP servers:

  • Native MCP Support - API Center recognizes MCP as a first-class API type alongside REST, GraphQL, and gRPC
  • Shadow Server Prevention - Require all MCP servers to register before deployment
  • Discovery - Search for MCP servers across your organization
  • Documentation - Links to MCP tool definitions and usage guides
  • Versioning - Track MCP server versions and deprecation schedules
  • Ownership - See who owns each MCP server and how to contact them
  • Compliance - Tag MCP servers with compliance requirements (HIPAA, PCI, etc.)

Think of it like a library catalog, but for APIs and MCP servers. If it's not in API Center, it shouldn't be deployed.

View your registered MCP servers:

After running the script, open the Azure Portal and navigate to your API Center. You'll see:

Name Summary Type
Sherpa MCP Server Weather forecasts, trail conditions, and gear recommendations MCP
Trails MCP Server Trail information, permit management, and hiking conditions MCP

MCP is a First-Class API Type

Notice that API Center lists MCP as the API type, not REST or GraphQL. Azure API Center natively understands MCP servers, making it easy to discover and govern all your AI tool integrations in one place.


What You Just Fixed

Before (no governance):

  • Shadow MCP servers deployed without security review
  • No visibility into what MCP servers exist
  • Duplicate implementations across teams
  • No compliance tracking
  • Can't enforce security standards

After (API Center):

  • All MCP servers registered in central catalog
  • Shadow servers discovered and documented
  • Easy discovery prevents duplicate work
  • Track compliance requirements per server
  • Security review before deployment

OWASP MCP-09 (Shadow MCP Servers) mitigation complete!


Going Further: API Center Portal & AI Foundry Integration

Deploy API Center Portal for Self-Service Discovery

API Center Portal provides a self-service website where developers can discover and explore your registered MCP servers without needing Azure Portal access.

Benefits:

  • Self-service discovery - Developers find MCP servers without asking around
  • Documentation hub - Each MCP server's docs in one place
  • Access control - Portal respects Azure RBAC permissions
  • Customizable - Brand with your organization's look and feel

To deploy:

  1. Create a Static Web App in Azure
  2. Configure it to use API Center as the backend
  3. Set up authentication (Entra ID recommended)

Full setup guide: Set up API Center Portal

Microsoft Foundry MCP Integration

Microsoft Foundry provides enterprise-grade infrastructure for AI applications, including native MCP server support. When combined with API Center governance, you get a complete solution for managing MCP servers at scale.

Key capabilities:

  • Centralized security - Apply consistent security policies across all MCP servers
  • Monitoring - Track MCP server usage, errors, and performance
  • Credential management - Securely manage OAuth tokens and API keys
  • Multi-region - Deploy MCP servers globally with consistent governance

Security best practices for MCP in Foundry:

  • Use Managed Identity for MCP server authentication
  • Enable audit logging for all MCP tool invocations
  • Apply network isolation (VNet integration)
  • Register all MCP servers in API Center before deployment

Full guide: MCP Security Best Practices in Azure AI Foundry


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