NIS2 is a double-edged sword for the IT channel

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NIS2: Everyone’s talking about it, and the compliance deadline is right around the corner. If you’re reading this, you likely know that NIS2 compliance is a must. But what does this mean for the IT channel, and what can we all do to better understand the breadth and implications of this directive? 

The Network and Information Systems Directive 2 (NIS2) is shaking up cybersecurity regulations across the European Union (EU). NIS2 enforces rigorous cybersecurity measures, guiding organizations to mitigate cyber attack risks and establish robust reporting and response protocols. The directive introduces new requirements in four key areas: risk management, corporate accountability, reporting obligations, and business continuity. 

NIS2 also extends its scope beyond typical critical Infrastructure providers to include, for example, channel partners operating as managed service providers (MSPs) or managed security service providers (MSSPs) delivering services to EU customers.  

For these partners, NIS2 is a double-edged sword: achieving compliance for their own operations while also supporting their customers in navigating these new regulations. This dual role requires channel partners to not only enhance their own cybersecurity measures but also to develop a deep understanding of their customers' needs and challenges. 

Compliance as a value-add service 

Achieving NIS2 compliance can be a daunting task, but there’s also a significant opportunity here for channel partners. By becoming compliant, MSPs and MSSPs can leverage their newly acquired skills and processes to offer enhanced services to their customers. This positions them as Trusted Advisors, capable of guiding their clients through the complexities of the directive and helping them build resilient cybersecurity frameworks. 

Increasing Reliance on MSSPs 

The wider role of MSSPs is only expected to grow, particularly among small and mid-sized businesses (SMBs) that lack the in-house expertise to manage cybersecurity and compliance effectively. MSSPs can offer a comprehensive suite of services, from IT and security management to compliance reporting, making them indispensable in the ever-changing fight against cyber threats. 

However, this increased reliance comes with heightened risks. Given their extensive access to customer IT infrastructures, MSSPs are prime targets for cyberattacks. A single breach within an MSSP can have cascading effects, leading to multiple customer breaches. This underscores the critical importance of MSSPs adhering to NIS2 requirements, not just for regulatory compliance but also for maintaining trust with their customers. 

Compliance Success as a Competitive Edge 

The NIS2 directive is a mixed bag of challenges and opportunities for IT channel partners. On one hand, the stringent requirements can be seen as a burden, requiring significant investments in cybersecurity measures and compliance processes. On the other hand, these same requirements create a unique opportunity for channel partners to stand out in the market. 

This market differentiation is key, and enhanced compliance services such as audits, training programs, and ongoing support to meet NIS2 and other regulatory requirements can provide unique value propositions. 

Ultimately, we want to see channel partners thrive in this market and drive business growth through specialized services that expand their service portfolios. Offering services such as compliance and gap analysis assessments, risk management consulting, and tailored cybersecurity solutions aligned with NIS2 can open new revenue streams. There may even be space for developing their own in-house compliance-as-a-service models, providing continuous monitoring and updates to ensure their clients remain compliant with evolving regulations.

This doesn’t have to apply to just NIS2, either, and can include other data protection and cybersecurity regulatory requirements such as GDPR, ISO27001, and DORA, among others.  

Of course, when operating in the IT channel, recommendations for navigating today’s compliance challenges wouldn’t be complete without a nod to technology. With the rapid pace of technological advancement, channel partners are positioned to adopt technologies to automate compliance processes – further enhancing their competitive edge. There are plenty of great options for partners to access, tools and technologies that can streamline compliance processes with automated reporting or provide detailed audit logs to investigate data breaches and demonstrate compliance in line with incident reporting requirements. 

So, as the NIS2 compliance deadline looms, channel partners are facing new responsibilities and opportunities. While the directive's demands are stringent, they also offer a chance to revolutionize how cybersecurity compliance is approached in our industry. 

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It might be helpful to think of NIS2 compliance as a race that you’re training for. It may be tough, and at times you might question why you’re doing it, but the end result is a stronger, more resilient version of yourself. 

So, channel partners, it's time to embrace the grind, flex those cybersecurity muscles, and show the world what you're made of. The future of IT security is in your hands, and with your support and expertise, it’s looking stronger and more secure than ever. 

Francis O’Haire
Group CTO , DataSolutions

Francis O’Haire is group CTO at DataSolutions, a Climb company. With over 30 years’ experience in the IT industry, including the virtualisation, cloud, security and data communications fields, Francis is a technology evangelist and thrives on finding solutions that address real market needs and deliver return on investment, increased efficiency and lower cost to the end customer.