EU NIS2 Compliance: What Multinational Enterprises Need to Know
The European Union (EU) enforces its own regional cybersecurity framework, NIS2, which complements EU GDPR data protection requirements. U.S. and multinational enterprises operating in one or more EU member states may be subject to NIS2 obligations where they fall within the EU directive’s scope. Atomicorp delivers endpoint detection and response (EDR) and web application firewall (WAF) solutions that help multinationals and EU managed service providers secure critical services and support compliance objectives while avoiding unnecessary foreign cloud dependencies, and GDPR violations, including unlawful international data transfers, inadequate safeguards, and breaches of processor obligations.
What is NIS2 compliance and how does it impact multinational companies?
EU Network and Information Systems Directive 2 (NIS2) is the European Union’s core law for strengthening cybersecurity and keeping essential digital services running safely. NIS stands for “Network and Information Systems,” which went into effect in 2018. The revised NIS2 directive, adopted in 2022 and transposed into national law by EU Member States in October 2024, expanded the scope of the original NIS’s covered entities to include more industries and to allow for individual transposition, aka EU law establishment by each member nation. It also granted national authorities greater enforcement powers, including the ability to impose significant fines for non-compliance.
NIS2 is about making sure critical services in Europe (like energy, hospitals, transport, cloud and internet infrastructure, and public services) meet a cybersecurity baseline and can recover quickly if something goes wrong. It requires these service providers to reduce risk through security practices, plan for emergencies, and inform national authorities quickly when they suffer a serious cyberattack, with the possibility of large fines if they ignore these rules.
Under NIS2, essential and important entities must implement appropriate and proportionate technical, operational, and organizational measures using an all‑hazards approach to protect their networks and information systems and to prevent or minimize the impact of cyber and physical incidents on their own operations, service recipients, and interconnected services.
Note: If you’re having trouble compartmentalizing NIS2 vs. GDPR, GDPR governs how personal data is handled; NIS2 is a performance directive that requires critical systems to be secured and security incidents to be managed. Below, we explain how U.S.-based providers operating in the EU and other multinationals can meet NIS2 requirements using locally deployed software that protects critical assets while keeping SIEM data local and sovereign.
Achieve EU NIS2 Compliance via Locally Deployed, Data-Sovereign Software
Atomicorp provides technical control support for EU NIS2 that aligns with the following directives:
Article 21: Cybersecurity Risk Management and Reporting
Under NIS2, multinational enterprises and MSPs must deploy software-driven cybersecurity risk management controls and measures—such as EDR, SIEM, microsegmentation, MFA, encryption, secure configuration management, and continuous vulnerability monitoring—plus supporting policies and processes to manage cyber risk end to end. Atomicorp provides a comprehensive security stack to address NIS2, Article 21, cybersecurity risk management measures. It provides:
- EDR and AV: Atomicorp’s Atomic OSSEC provides EDR, which is recognized as a proactive measure for the swift detection and mitigation of security threats, directly supporting the “incident handling” requirement of Article 21(2)(b). Atomicorp fortifies customers with AV, antimalware and firewall protection on the endpoint to meet Article 21(2)(g) for basic cyber hygiene.
- Vulnerability and threat management: NIS2 Article 21(2)(e) requires organizations to manage vulnerabilities and disclosures. Organizations also must implement risk measures for information systems and supply chain security. Atomicorp’s automated scanners and threat intelligence tools help identify and prioritize risks, including malware in the supply chain. Atomicorp provides traffic, file, and fuzzy hash monitoring to detect malicious code and validate component integrity, while its virtual patching shields systems from zero-day and known exploits.
- System and file integrity monitoring (FIM): Atomicorp FIM provides an early warning system and system of record for change management and continuous system and configuration maintenance. This continuous monitoring and detection empowers multinational enterprises to address EU NIS2 Article 21(2)(b) (incident detection) and Article 21(2)(e) (system maintenance). Atomicorp FIM also backs up files and settings prior to each alteration for easier recovery and service continuity. Request a Demo.
- Malware containment and extraction: Atomicorp supports business continuity in EU NIS2 Article 21(2)(c) by identifying and isolating intruders and malware in real time. The Atomicorp solution enables the recovery and restoration of operations after an infection by performing malware extraction and remediation through automated response actions and real-time alerts.
- Data loss prevention (DLP): Atomicorp solutions support DLP across Article 21(2)(b) for detecting exfiltration incidents, (h) for integrating encryption, (i) for data discovery and access control, and (g) for overall cyber hygiene. Together, these ensure the proactive protection and classification of sensitive organizational assets.
- RBAC and MFA: The solution’s dashboard graphical user interface (GUI) supports EU NIS2 Article 21(2)(i) role-based access control and Article 21(2)(j) multifactor authentication (MFA) to securely enforce least privilege and privilege access management while enabling analysts and organizational compliance stakeholders such as data compliance officers to perform their specific duties including tracking, assessment, and reporting.
Article 23: Incident Reporting Obligations
Article 23 establishes a staged, time-bound incident reporting lifecycle: 24-hour alert → 72-hour notification → updates → one-month final report, designed to support rapid response and cross-border coordination. Article 23 defines when and how to report “significant” incidents and sets notification timelines. However, you can’t meet the 24-hour awareness requirement without timely detection. Atomicorp provides continuous monitoring, real-time malware incident detection, and active response functions. The solution also provides flexible templates for different export and import submission requirements. Fed by LIDS and FIM, the Atomicorp incident response platform provides SOAR, ticketing, and SIEM support to assist with detection, impact assessment, and generation of regulator-ready reports.
Article 25: Standardisation
Article 25 encourages the use of relevant European and international standards and technical specifications. Frameworks like ISO 27001 provide structure controls and evidence, even though NIS2 does not mandate a specific standard. Atomicorp provides a foundational governance, risk and compliance (GRC) platform to help multinational enterprises align security controls with recognized standards such as ISO 27001 for audit evidence and broader compliance initiatives. Atomicorp features include log-based analysis, SIEM analysis, drift detection and configuration management tools and compliance gap scanning that customers use for PCI DSS, ISO 27001, NIST 800-53 and adherence with additional global, regional and federal standards.
Article 26: Jurisdiction and Territoriality
Under Article 26 of the NIS2 Directive, supervisory jurisdiction is primarily determined by an organization’s main establishment within the EU, while non-EU entities providing covered services in the Union are required to designate an EU-based representative. Multinational enterprises must therefore align governance, reporting, and oversight with the competent authority in the applicable Member State, rather than freely selecting a regulator.
While NIS2 does not impose blanket data-localization mandates, local deployment and data residency decisions may form part of a risk-based compliance strategy, influenced by national implementation measures and supervisory expectations. Technical controls—such as Atomicorp’s device-based EDR and WAF rules—can support jurisdictional and territorial risk management objectives by enabling centralized security enforcement and policy control across Member States. These capabilities include intrusion prevention, network segmentation / microsegmentation, geofiltering and geoblocking, data loss prevention (DLP), and related measures that help organizations operationalize national and cross-border compliance requirements without fragmenting their security architecture.
Article 11: CSIRTs — Technical Capabilities & Tasks
While EU NIS2 Article 11 doesn’t prescribe specific technologies, it mandates that computer security incident response teams (CSIRTs) be technically capable of fulfilling their duties—such as monitoring threats, responding to incidents, and helping critical entities. Atomicorp EDR and cloud workload protection software works on site and within a defined network to help CSIRTS to monitor devices, user accounts, databases, and web and cloud API for vulnerabilities, threats, and compliance violations. Leveraging automation and machine learning, the cybersecurity and compliance solution prevents and blocks threats through AV, malware detection, active response, and device-based firewall capabilities. It also reduces systemic weaknesses via virtual patching, which shields software vulnerabilities from exploitations until patches can be applied and even if the bugs can’t be fixed directly.
Important Note: This article is provided for general informational purposes only and does not constitute legal advice. Organizations should consult qualified legal counsel to ensure compliance with applicable EU regulations, including NIS2 and GDPR.
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