There are different authentication flows for the embed for your customers and embed for your organization embedding solutions.
i. The authentication flow for the embed for your customers solution is non-interactive. To access Power BI, users do not need to sign in to Azure AD. Instead, your web app authenticates against Azure AD and generates the embed token using a reserved Azure AD identity. A service principal or a master user can be used as the reserved identity.
ii. An interactive authentication flow is used in the Embed for your organization solution. Users of the web app log in to Azure AD using their Power BI credentials. They must accept the API permissions that were assigned to the app when it was registered with Azure AD.