The NIS2 Directive, Explained

The European Union's NIS2 Directive aims to improve cybersecurity within the EU by setting requirements for operators of essential services, such as implementing specific security measures and reporting significant cybersecurity incidents. The directive applies to medium or large enterprises operating in high-criticality sectors, including energy, transportation, banking, and healthcare. To evaluate compliance, organizations can use the Compliance Assessment Framework (CAF), which assesses risk management, defending against cyberattacks, detecting cybersecurity events, and minimizing the impact of cybersecurity events. Sanctions for non-compliance include fines of up to €10 million or 2% of annual worldwide turnover for essential entities, and up to €7 million or 1.4% of annual worldwide turnover for important entities. The directive also sets key controls for governance, process, organization, and technology, including risk management, security measures, incident detection and response, business continuity, information sharing, security governance, supplier management, security awareness, encryption, access controls, compliance, and reporting. Organizations can utilize frameworks such as ISO 27001, COBIT, ENISA guidelines, ITIL, CIS Controls, NIST CSF, and Bugcrowd's Vulnerability Disclosure Programs to achieve compliance with the NIS2 Directive.