Network and Information Systems Directive 2 (NIS2)
Why NIS2 Represents a Cybersecurity Turning Point
Massive Expansion of Scope
NIS2 establishes a unified legal framework to uphold cybersecurity in 18 critical sectors across the EU, covering an estimated 100,000+ organizations.
Strict Implementation Deadline
Member States had to implement the NIS2 Directive into national law by 17 October 2024, making compliance mandatory across the EU.
Severe Financial Penalties
Essential entities face fines up to 10 million euro or 2% of total annual turnover, while important entities face up to 7 million euro or 1.4% of turnover.
Personal Management Liability
Management must receive cybersecurity training, with potential penalties for non-compliance, including personal liability and temporary bans from management roles.
What NIS2 Requires from Organizations
NIS2 significantly expands cybersecurity obligations beyond the original NIS Directive, establishing comprehensive requirements for digital security and incident response.
Implement Comprehensive Risk Management
Establish cybersecurity risk management measures including policies, incident handling, business continuity, supply chain security, and effectiveness assessment.
Report Security Incidents Promptly
Establish Governance and Oversight
Secure Supply Chains
Maintain Business Continuity
The 18 Critical Sectors Under NIS2
Essential Entities (Higher Requirements):
- Energy (electricity, oil, gas, hydrogen)
- Transport (air, rail, water, road transport)
- Banking and financial market infrastructures
- Health sector (healthcare providers, pharmaceutical companies)
- Drinking water and wastewater management
- Digital infrastructure (internet exchange points, DNS service providers, TLD name registries, cloud computing services, data center services)
- ICT service management (managed service providers, managed security service providers)
- Space sector
Important Entities (Standard Requirements):
- Postal and courier services
- Waste management
- Manufacturing of critical products (medical devices, computer/electronic products, machinery, motor vehicles, chemicals)
- Digital service providers (online marketplaces, search engines, social networking platforms)
- Research organizations
Key Compliance Requirements
Risk Management Framework
Organizations must adopt appropriate technical, operational, and organizational measures to manage cybersecurity risks. This includes regular risk assessments, implementation of security policies, and continuous monitoring of security posture.
Incident Reporting Obligations
Entities must establish procedures for promptly reporting significant security incidents with strict timelines. The reporting process includes initial notification within 24 hours, followed by detailed incident reports and final assessments.
Supply Chain Security
NIS2 requires organizations to assess and manage cybersecurity risks in their supply chains, including due diligence of suppliers and contractual security requirements for critical service providers.
Business Continuity Planning
Organizations must maintain comprehensive business continuity plans, including backup systems, disaster recovery procedures, and regular testing to ensure operational resilience during cyber incidents.
Management Accountability
Senior management must oversee cybersecurity risk management measures and receive appropriate cybersecurity training. Personal liability provisions create direct accountability for leadership compliance.
NIS2: All you need to know
Learn more about NIS2
NIS2
NIS2 is the single most comprehensive cybersecurity legislation to date—and you may be wondering how to comply with it. Download our guide on how Microsoft Security solutions can help you put a proper foundation in place and easily achieve compliance by the October 2024 deadline.
You’ll learn more about:
- What is NIS2 and what does it mean to your organization
- Specific NIS2 principles and how Microsoft solutions can help.
Sign up to download Navigating the complex world of NIS2 with Microsoft Security Solutions.
