In the final quarter of 2024, there have been significant developments in the EU cybersecurity legal landscape. Most prominently, the EU institutions adopted the Cyber Resilience Act and mid-October marked the deadline for Member States to transpose the NIS2 Directive into national law. Most Member States failed to meet the NIS2 transposition deadline, which resulted in the European Commission sending a formal notice to 23 Member States, urging them to transpose the Directive. These 23 Member States have been given two months to respond. (For more information on the Cyber Resilience Act and NIS2 Directive, see our blog posts here and here.)

Legislative developments have continued beyond these two major laws, however. On December 2, 2024, the European Council adopted two further cybersecurity laws from the EU Cybersecurity Package: the Cyber Solidarity Act (“CSA”) and an amendment to the 2019 Cybersecurity Act (“CA Amendment”).

The CSA covers three main “pillars”:

  • Threat detection and prevention: the CSA will establish a European Cybersecurity Alert System: in practice, this will impose reinforced collaboration obligations between EU and Member State institutions that focus on cybersecurity;
  • Incident preparedness and response: the CSA will also establish a European Cybersecurity Emergency Mechanism. Member States and private entities (including those designated as essential or important entities under NIS2) can request assistance from this mechanism, including in preparing for cyber threats and with incident response. Of particular interest to technology companies, certain “trusted providers” will provide services through the “EU Cybersecurity Reserve,” which forms part of the Emergency Mechanism; and
  • Incident reviews: ENISA will, on request, assess threats, vulnerabilities, and potential mitigation actions in relation to specific major cybersecurity incidents.

The Cybersecurity Act created a pan-EU cybersecurity certification framework for ICT products, services and processes, and mandated ENISA to develop certifications. The CA Amendment expands the scope of potential cybersecurity certifications that ENISA adopts, so that it may adopt certifications for “managed security services” in addition to ICT products, services, and processes. The CA Amendment defines these services by reference to NIS2, which states they are “services consisting of carrying out, or providing assistance for, activities relating to their customers’ cybersecurity risk management, and have gained increasing importance in the prevention and mitigation of incidents.”

As many of you who have been grappling with NIS2 implementation in recent months will be aware, Article 24 of that Directive permits Member States to mandate the use of cybersecurity certifications adopted under the Cybersecurity Act by essential and/or important entities. As a result, it is possible that Member States may in the future require certain entities in these sectors to use managed security services that have a certain level of certification.

Both the CSA and CA Amendment are likely to be published in the Official Journal of the EU before the end of 2024, or in the early part of 2025. They will come into force 20 days after publication.

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The Data Privacy and Cybersecurity Practice at Covington has deep experience advising on privacy and cybersecurity issues across Europe, and will continue to monitor developments. If you have any questions about the Cyber Solidary Act, Cybersecurity Act, NIS2, and the Cyber Resilience Act, or about developments in the cybersecurity space more broadly, our team would be happy to assist.

(This post was written with the assistance of Diane Valat.)

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Photo of Mark Young Mark Young

Mark Young is an experienced tech regulatory lawyer and a vice-chair of Covington’s Data Privacy and Cybersecurity Practice Group. He advises major global companies on their most challenging data privacy compliance matters and investigations. Mark also leads on EMEA cybersecurity matters at the…

Mark Young is an experienced tech regulatory lawyer and a vice-chair of Covington’s Data Privacy and Cybersecurity Practice Group. He advises major global companies on their most challenging data privacy compliance matters and investigations. Mark also leads on EMEA cybersecurity matters at the firm. In these contexts, he has worked closely with some of the world’s leading technology and life sciences companies and other multinationals.

Mark has been recognized for several years in Chambers UK as “a trusted adviser – practical, results-oriented and an expert in the field;” “fast, thorough and responsive;” “extremely pragmatic in advice on risk;” “provides thoughtful, strategic guidance and is a pleasure to work with;” and has “great insight into the regulators.” According to the most recent edition (2024), “He’s extremely technologically sophisticated and advises on true issues of first impression, particularly in the field of AI.”

Drawing on over 15 years of experience, Mark specializes in:

Advising on potential exposure under GDPR and international data privacy laws in relation to innovative products and services that involve cutting-edge technology, e.g., AI, biometric data, and connected devices.
Providing practical guidance on novel uses of personal data, responding to individuals exercising rights, and data transfers, including advising on Binding Corporate Rules (BCRs) and compliance challenges following Brexit and Schrems II.
Helping clients respond to investigations by data protection regulators in the UK, EU and globally, and advising on potential follow-on litigation risks.
Counseling ad networks (demand and supply side), retailers, and other adtech companies on data privacy compliance relating to programmatic advertising, and providing strategic advice on complaints and claims in a range of jurisdictions.
Advising life sciences companies on industry-specific data privacy issues, including:

clinical trials and pharmacovigilance;
digital health products and services; and
engagement with healthcare professionals and marketing programs.

International conflict of law issues relating to white collar investigations and data privacy compliance (collecting data from employees and others, international transfers, etc.).
Advising various clients on the EU NIS2 Directive and UK NIS regulations and other cybersecurity-related regulations, particularly (i) cloud computing service providers, online marketplaces, social media networks, and other digital infrastructure and service providers, and (ii) medical device and pharma companies, and other manufacturers.
Helping a broad range of organizations prepare for and respond to cybersecurity incidents, including personal data breaches, IP and trade secret theft, ransomware, insider threats, supply chain incidents, and state-sponsored attacks. Mark’s incident response expertise includes:

supervising technical investigations and providing updates to company boards and leaders;
advising on PR and related legal risks following an incident;
engaging with law enforcement and government agencies; and
advising on notification obligations and other legal risks, and representing clients before regulators around the world.

Advising clients on risks and potential liabilities in relation to corporate transactions, especially involving companies that process significant volumes of personal data (e.g., in the adtech, digital identity/anti-fraud, and social network sectors.)
Providing strategic advice and advocacy on a range of UK and EU technology law reform issues including data privacy, cybersecurity, ecommerce, eID and trust services, and software-related proposals.
Representing clients in connection with references to the Court of Justice of the EU.

Photo of Paul Maynard Paul Maynard

Paul Maynard is special counsel in the technology regulatory group in the London office. He focuses on advising clients on all aspects of UK and European privacy and cybersecurity law relating to complex and innovative technologies such as adtech, cloud computing and online…

Paul Maynard is special counsel in the technology regulatory group in the London office. He focuses on advising clients on all aspects of UK and European privacy and cybersecurity law relating to complex and innovative technologies such as adtech, cloud computing and online platforms. He also advises clients on how to respond to law enforcement demands, particularly where such demands are made across borders.

Paul advises emerging and established companies in various sectors, including online retail, software and education technology. His practice covers advice on new legislative proposals, for example on e-privacy and cross-border law enforcement access to data; advice on existing but rapidly-changing rules, such the GDPR and cross-border data transfer rules; and on regulatory investigations in cases of alleged non-compliance, including in relation to online advertising and cybersecurity.