Over recent years, the European Union has significantly strengthened its cyber-resilience framework through two major regulations: the NIS2 Directive and the Digital Operational Resilience Act (DORA). While both aim to limit the damage caused by cyberattacks and IT disruptions, they address different objectives and apply to distinct sectors. For security and risk decision-makers, it is crucial to understand both the similarities and the differences between these regulations. This clarity enables smarter investment decisions, the design of robust governance models, and the prevention of compliance gaps that could lead to regulatory exposure.
Who is in scope for DORA and NIS2 compliance?
The Digital Operational Resilience Act (DORA) primarily targets the financial sector. Its rules apply to banks, insurance companies, payment service providers, investment firms, and other financial institutions governed by EU financial regulations. DORA also extends to critical third-party service providers that support these institutions, such as risk management software vendors and penetration testing firms.
In contrast, NIS2 has a much broader scope, covering multiple sectors. It applies to essential entities like energy, transport, healthcare, and water supply providers, as well as important entities including manufacturers, digital infrastructure providers, and cybersecurity companies. Unlike DORA, NIS2 is not limited to a single sector but instead focuses on industries crucial for the functioning of society.
What NIS2 and DORA Mean for Your Business?
With NIS2 and DORA, risk management becomes central to every organization’s operations, as both regulations demand proactive identification and mitigation of cyber and operational risks. They also introduce greater responsibility, making leadership directly accountable for ensuring compliance and resilience. Organizations must implement the required measures or risk significant fines and sanctions, highlighting that mandatory compliance is both a legal and strategic necessity.
More information about the similarities and differences between NIS2 and DORA you will find in our two-pager:
