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The Impact of the Digital Operational Resilience Act (DORA) on Java Investment with Azul

July 14, 2024

Author(s)

  • Avatar photo
    Geertjan Wielenga

    Geertjan is Senior Director of Open Source Projects at Azul and holds an LL.M in European Union Law from the University of Amsterdam.

  • Simon Ritter

    Simon is Deputy CTO at Azul.

The Digital Operational Resilience Act (DORA), Regulation (EU) 2022/2554, is a key piece of European Union legislation focused on strengthening the resilience of the financial sector against digital operational risks, such as cyber attacks and other ICT-related disruptions.

DORA is part of the broader Digital Finance Package introduced by the European Commission to enable innovation and competition in the financial sector while ensuring its security and resilience.

It is focused on enhancing ICT risk management, strengthening cybersecurity, ensuring continuity and recovery, managing risks arising from dependencies on third-party ICT service providers, and incident reporting.

DORA applies to a wide range of financial entities, including:

  • Banks
  • Payment institutions
  • Electronic money institutions
  • Investment firms
  • Insurance and reinsurance companies
  • Trading venues
  • Other entities involved in financial services

By addressing digital threats in the financial sector, DORA is targeted at ensuring that financial institutions are better equipped to handle ICT-related risks, so as to protect the stability and integrity of the EU financial system.

Penalties connected to non-compliance with DORA are designed to be stringent enough to enforce adherence to the regulations and to protect the stability and integrity of the financial system. The intention is for financial institutions to, more than ever before, be incentivized to invest in their ICT risk management and cybersecurity measures, avoiding a range of significant penalties.

Java, Security, and Resilience

DORA significantly impacts investments by the financial sector in Java, because of its emphasis on secure and resilient software.

Azul’s unique stabilized OpenJDK distribution with updates that are focused on security-only fixes, is well-suited for these requirements, offering updates and patches to address vulnerabilities swiftly, and historically consistently faster than any alternative, which is crucial for protecting financial systems under DORA's stringent cybersecurity mandates.

Java, Reporting, and Incident Response

Azul’s OpenJDK also unlocks and enables monitoring and logging capabilities, in particular via its unique Intelligence Cloud, which is critical for DORA’s reporting and incident response requirements.

With uniquely advanced monitoring tools and detailed logging mechanisms, Java applications on Azul’s platform can provide real-time insights and comprehensive audit trails focused on detecting vulnerabilities as well as unused code, enabling financial entities to detect, report, and respond to incidents promptly.

Java, Performance, and Reliability

Azul’s specialized focus on Java performance and reliability aligns with DORA’s continuity planning and disaster recovery emphasis. Azul's hardened enterprise OpenJDK distribution is optimized for high performance and stability, ensuring financial applications remain operational during disruptions.

In combination with the above elements, Azul's commitment to long-term support and regular updates, including unique extended support all the way back to Java 6 and 7, uniquely helps to mitigate risks associated with third-party dependencies, meeting DORA’s high security standards.

Conclusion

Azul's OpenJDK emerges as the premier choice for financial institutions seeking compliance with the Digital Operational Resilience Act (DORA) in the EU.

Its robust uniquely comprehensive long-term support (LTS) versions ensure stability and ongoing security updates, crucial for maintaining operational resilience under regulatory scrutiny. Azul's enhanced security features, comprehensive testing, and compatibility with modern architectures and Cloud environments provide the secure and scalable Java platform demanded by DORA.

With a proven track record in performance and reliability, Azul not only meets but exceeds the stringent requirements of DORA, offering financial institutions the best-in-breed Java solution that is now mandatory in the EU to navigate the complexities of digital operational resilience effectively.

How to get ready for DORA? Check it out here.

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Author(s)

  • Avatar photo
    Geertjan Wielenga

    Geertjan is Senior Director of Open Source Projects at Azul and holds an LL.M in European Union Law from the University of Amsterdam.

  • Simon Ritter

    Simon is Deputy CTO at Azul.

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