Hi @Aran Billen
Thank you for posting your query on Microsoft Q&A!
The answer is No, the configuration you shared will allow users to use the Microsoft Authenticator app if they are prompted to setup MFA. But if you do not have anything configured to require MFA then they will not be prompted. So you would need to also configure a Conditional Access policy, or enable Security Defaults before users will get prompted.
If you have a license which includes Identity Protection you can configure a "Registration Policy" which will prompt users to setup MFA without any Conditional Access or MFA enforcement, this also can allow users to temporarily skip registration - https://learn.microsoft.com/en-us/entra/id-protection/howto-identity-protection-configure-mfa-policy
We have a guide here on planning for MFA registration - https://learn.microsoft.com/en-gb/entra/identity/authentication/howto-mfa-getstarted#plan-user-registration
Let me know if you have any further queries.
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