Is SOC 2 Compliance Right for Your Business? The Ultimate Guide

Businesses handle sensitive data daily, so demonstrating a commitment to data protection is crucial. One key way to accomplish this is through SOC 2 compliance, a widely recognized security framework.

This guide breaks down the complexities of SOC 2 compliance, its requirements, and why it matters for your business.

What Exactly is SOC 2 Compliance?

SOC 2 compliance verifies that a company has implemented the proper controls to safeguard sensitive data. This includes data stored or processed on behalf of customers, making it vital for cloud providers and businesses that handle customer information.

There are two types of SOC 2 reports:

• Type I: Evaluates data security controls at a single point in time.
• Type II: Evaluates security controls over a period of time, offering a more comprehensive assessment.

DigitalOcean maintains both SOC 2 Type II and SOC 3 Type II certifications, showing commitment to safeguarding customer's sensitive data.

Understanding the Five Trust Services Criteria (TSC) for SOC 2

Achieving SOC 2 compliance isn't just about ticking boxes. It hinges on meeting the AICPA's Trust Services Criteria (TSC), which define how organizations should manage and protect data. Here's a breakdown:

• Security: Protects systems from unauthorized access through things like security policies, risk assessment, and access controls.
• Availability: Ensures reliable system access for customers and employees when needed through performance monitoring and disaster recovery planning.
• Processing Integrity: Confirms that systems operate correctly and process data accurately.
• Confidentiality: Protects data that must be kept confidential, following the principle of least privilege.
• Privacy: Prioritizes protecting consumer rights regarding their data, covering consent, data use, and disposal protocols.

Why SOC 2 Certification Matters: Key Benefits for Your Business

Obtaining SOC 2 certification demonstrates a commitment to security, builds trust with customers and partners, and offers several tangible benefits:

• Enhanced Data Protection: Implements and maintains thoroughly tested and verified security controls.
• Reduced Risk: Working with a SOC 2 compliant provider ensures risks are managed appropriately, and offers better security.
• Streamlined Compliance: Simplifies meeting other regulatory requirements and obligations.

Decoding Your SOC 2 Report: Key Sections & What They Mean

Navigating a SOC 2 report can seem daunting. Here's a breakdown of the core components:

• Auditor's Report: Summarizes the auditor's findings and assesses security practices against the Trust Services Criteria.
• Management's Assertion: The organization's summary of its controls and expected performance.
• System Description: A detailed overview of the organization's information security system (product descriptions, service level commitments and integral components).
• Testing Results: Reveals test results of each applied control to measure effectiveness including:
  • No exceptions noted: Demonstrates operational effectiveness of controls
  • Non-occurrence: Activities which facilitate testing of the control did not occur
  • Change in application of control activity: Modifications were made to established procedures or processes used to implement the control during the review period
  • Exception: Deficiency in the operating effectiveness of the control activity
• Management's Response: How the company responds to testing exceptions.

Leverage a SOC 2 Certified Cloud Platform for Your Business

Choosing a cloud provider means choosing a security partner. DigitalOcean maintains SOC 2 compliance (and other certifications) to demonstrate our commitment to protecting sensitive information.

Build on DigitalOcean and gain a trusted foundation of proven security practices and controls. Let us handle the security, so you can focus on your business.

Ready to get started? Sign up for DigitalOcean today.