diff --git a/app/server/appsmith-plugins/smtpPlugin/src/main/java/com/external/plugins/SmtpPlugin.java b/app/server/appsmith-plugins/smtpPlugin/src/main/java/com/external/plugins/SmtpPlugin.java
index 69f81748d3fe..403ccd9c2087 100644
--- a/app/server/appsmith-plugins/smtpPlugin/src/main/java/com/external/plugins/SmtpPlugin.java
+++ b/app/server/appsmith-plugins/smtpPlugin/src/main/java/com/external/plugins/SmtpPlugin.java
@@ -212,15 +212,25 @@ public Mono<Session> datasourceCreate(DatasourceConfiguration datasourceConfigur
             prop.put("mail.smtp.port", String.valueOf(port));
             prop.put("mail.smtp.ssl.trust", endpoint.getHost());
 
-            String username = authentication.getUsername();
-            String password = authentication.getPassword();
+            Session session;
 
-            Session session = Session.getInstance(prop, new Authenticator() {
-                @Override
-                protected PasswordAuthentication getPasswordAuthentication() {
-                    return new PasswordAuthentication(username, password);
-                }
-            });
+            if (authentication != null
+                    && StringUtils.hasText(authentication.getUsername())
+                    && StringUtils.hasText(authentication.getPassword())) {
+
+                String username = authentication.getUsername();
+                String password = authentication.getPassword();
+
+                session = Session.getInstance(prop, new Authenticator() {
+                    @Override
+                    protected PasswordAuthentication getPasswordAuthentication() {
+                        return new PasswordAuthentication(username, password);
+                    }
+                });
+            } else {
+                prop.put("mail.smtp.auth", "false");
+                session = Session.getInstance(prop);
+            }
             return Mono.just(session);
         }
 
@@ -248,14 +258,6 @@ public Set<String> validateDatasource(DatasourceConfiguration datasourceConfigur
                     invalids.add(SMTPErrorMessages.DS_MISSING_HOST_ADDRESS_ERROR_MSG);
                 }
             }
-
-            DBAuth authentication = (DBAuth) datasourceConfiguration.getAuthentication();
-            if (authentication == null
-                    || !StringUtils.hasText(authentication.getUsername())
-                    || !StringUtils.hasText(authentication.getPassword())) {
-                invalids.add(new AppsmithPluginException(AppsmithPluginError.PLUGIN_AUTHENTICATION_ERROR).getMessage());
-            }
-
             return invalids;
         }
 
@@ -264,6 +266,7 @@ public Mono<DatasourceTestResult> testDatasource(Session connection) {
             log.debug(Thread.currentThread().getName() + ": testDatasource() called for SMTP plugin.");
             return Mono.fromCallable(() -> {
                         Set<String> invalids = new HashSet<>();
+
                         try {
                             Transport transport = connection.getTransport();
                             if (transport != null) {
diff --git a/app/server/appsmith-plugins/smtpPlugin/src/test/java/com/external/plugins/SmtpPluginTest.java b/app/server/appsmith-plugins/smtpPlugin/src/test/java/com/external/plugins/SmtpPluginTest.java
index 2da564b02d91..3b95047aeebb 100644
--- a/app/server/appsmith-plugins/smtpPlugin/src/test/java/com/external/plugins/SmtpPluginTest.java
+++ b/app/server/appsmith-plugins/smtpPlugin/src/test/java/com/external/plugins/SmtpPluginTest.java
@@ -1,6 +1,5 @@
 package com.external.plugins;
 
-import com.appsmith.external.exceptions.pluginExceptions.AppsmithPluginError;
 import com.appsmith.external.exceptions.pluginExceptions.AppsmithPluginException;
 import com.appsmith.external.helpers.PluginUtils;
 import com.appsmith.external.models.ActionConfiguration;
@@ -59,12 +58,23 @@ public class SmtpPluginTest {
             .withCommand("bin/maildev --base-pathname /maildev --incoming-user " + username + " --incoming-pass "
                     + password + " -s 25");
 
+    @Container
+    public static final GenericContainer smtpWithoutAuth = new GenericContainer(
+                    DockerImageName.parse("maildev/maildev"))
+            .withExposedPorts(1025)
+            .withCommand("bin/maildev --base-pathname /maildev --smtp-port 1025 --incoming-user '' --incoming-pass ''");
+
     private final SmtpPlugin.SmtpPluginExecutor pluginExecutor = new SmtpPlugin.SmtpPluginExecutor();
 
     @BeforeAll
     public static void setup() {
-        host = smtp.getContainerIpAddress();
-        port = Long.valueOf(smtp.getFirstMappedPort());
+        // Initialize SMTP connection with default configuration (can be changed per test)
+        configureSmtpConnection(smtp); // Default
+    }
+
+    private static void configureSmtpConnection(GenericContainer container) {
+        host = container.getContainerIpAddress();
+        port = Long.valueOf(container.getFirstMappedPort());
     }
 
     private DatasourceConfiguration createDatasourceConfiguration() {
@@ -130,13 +140,21 @@ public void testInvalidPort() {
     }
 
     @Test
-    public void testNullAuthentication() {
-        DatasourceConfiguration invalidDatasourceConfiguration = createDatasourceConfiguration();
-        invalidDatasourceConfiguration.setAuthentication(null);
+    public void testConnectionWithoutAuth() {
+        configureSmtpConnection(smtpWithoutAuth);
+        DatasourceConfiguration noAuthDatasourceConfiguration = createDatasourceConfiguration();
+        noAuthDatasourceConfiguration.setAuthentication(null); // No authentication
 
-        assertEquals(
-                Set.of(new AppsmithPluginException(AppsmithPluginError.PLUGIN_AUTHENTICATION_ERROR).getMessage()),
-                pluginExecutor.validateDatasource(invalidDatasourceConfiguration));
+        Mono<DatasourceTestResult> testDatasourceMono = pluginExecutor.testDatasource(noAuthDatasourceConfiguration);
+
+        StepVerifier.create(testDatasourceMono)
+                .assertNext(datasourceTestResult -> {
+                    assertNotNull(datasourceTestResult);
+                    assertTrue(datasourceTestResult.isSuccess());
+                    assertTrue(datasourceTestResult.getInvalids().isEmpty());
+                })
+                .verifyComplete();
+        configureSmtpConnection(smtp);
     }
 
     @Test