SOC 2 and GDPR: Managing Both for Global SaaS Companies

At Agency, we work with SaaS companies selling internationally who face a dual compliance challenge that often feels like managing two separate programs: US enterprise buyers require SOC 2 reports as a standard procurement condition, while European customers and data protection authorities expect compliance with the General Data Protection Regulation (GDPR). These frameworks originate from different legal traditions — SOC 2 is a voluntary attestation framework developed by the AICPA for evaluating service organization controls, while GDPR is a comprehensive data protection regulation enforced by EU/EEA supervisory authorities with penalties up to four percent of global annual revenue or twenty million euros. Despite their different origins, what we consistently see is that SOC 2 and GDPR share substantial control overlap, and organizations that build their compliance program strategically can satisfy both frameworks with a single, unified control environment rather than maintaining parallel programs.

This guide helps SaaS companies operating globally understand where SOC 2 and GDPR overlap, where they diverge, how to build a unified compliance program, and how to use the SOC 2 report as evidence of GDPR technical and organizational measures. The target audience is compliance officers, data protection officers (DPOs), and security leads at SaaS companies with both US and European customers.

Fundamental Differences

Framework Comparison

Dimension	SOC 2	GDPR
Type	Voluntary attestation framework	EU regulation (legally binding)
Governing body	AICPA	European Commission; enforced by EU/EEA data protection authorities
Geographic scope	Primarily US; growing international recognition	EU/EEA; applies globally to any organization processing EU personal data
Who it applies to	Service organizations that choose to undergo the attestation	Any organization processing personal data of EU/EEA residents
Enforcement	Market-driven — customers require reports	Regulatory — fines up to €20M or 4% of global annual revenue
Assessment method	CPA firm attestation engagement	Self-assessment, data protection impact assessments, supervisory authority audits
Output	SOC 2 report with auditor opinion	No standard report; compliance demonstrated through documentation, DPIAs, records of processing
Focus	Security controls for service organizations	Data protection rights of individuals
Control framework	Trust Service Criteria (CC1-CC9 + optional criteria)	Articles 5, 6, 12-22, 24-39 (principles, rights, obligations)

The Key Philosophical Difference

SOC 2 evaluates whether an organization's controls are suitably designed and operating effectively to protect data and systems. GDPR evaluates whether an organization processes personal data lawfully, fairly, and transparently — with specific rights granted to data subjects. What we always explain to clients is that SOC 2 is controls-focused while GDPR is rights-focused. A SOC 2 program without GDPR alignment may have excellent security controls but lack the data subject rights mechanisms, lawful basis documentation, and data processing transparency that GDPR requires.

Where SOC 2 and GDPR Overlap

Control Overlap Map

Control Domain	SOC 2 Requirement	GDPR Requirement	Overlap Level
Access management	CC6 — logical access controls, authentication, authorization, deprovisioning	Article 32 — security of processing; appropriate technical measures	High
Encryption	CC6 — data protection at rest and in transit	Article 32 — pseudonymization and encryption of personal data	High
Risk assessment	CC3 — formal risk assessment and management	Article 35 — data protection impact assessment (DPIA); Article 32 — risk-appropriate security	High
Incident response	CC7 — incident detection, response, communication	Articles 33-34 — breach notification to supervisory authority (72 hours) and data subjects	High
Monitoring and logging	CC7 — security event logging and monitoring	Article 32 — ability to detect, respond to, and recover from incidents	Medium-High
Change management	CC8 — change authorization, testing, deployment	Article 32 — process for regularly testing effectiveness of technical measures	Medium
Vendor management	CC9 — vendor risk assessment and contractual requirements	Articles 28-29 — data processor agreements; sub-processor requirements	High
Employee training	CC1 — security awareness and training	Article 39(1)(b) — DPO responsibilities include awareness-raising and training	Medium
Data classification	CC6, C1 — data handling and confidentiality	Article 5(1)(c) — data minimization; processing only what is necessary	Medium
Business continuity	CC9, A1 — business continuity and disaster recovery	Article 32(1)(c) — ability to restore availability and access to personal data in a timely manner	Medium

In our experience, an organization with a mature SOC 2 program addresses approximately fifty to sixty percent of GDPR's technical and organizational measures requirements. The remaining GDPR requirements are specific to data subject rights, lawful basis for processing, and data protection governance — areas that SOC 2 does not directly address.

SOC 2 Privacy Criterion and GDPR

Including the SOC 2 Privacy criterion significantly increases overlap with GDPR:

Privacy Criterion Area	GDPR Alignment
Notice	Article 13-14 — information provided to data subjects about processing
Choice and consent	Article 6 — lawful basis for processing; Article 7 — conditions for consent
Collection limitation	Article 5(1)(b) — purpose limitation; Article 5(1)(c) — data minimization
Use, retention, and disposal	Article 5(1)(e) — storage limitation; Article 17 — right to erasure
Access	Article 15 — right of access by the data subject
Disclosure to third parties	Articles 28-29 — data processor agreements; Article 44-49 — international transfers
Quality	Article 5(1)(d) — accuracy of personal data
Monitoring and enforcement	Article 24 — responsibility of the controller; Article 32 — security of processing

What we see across our client base is that organizations that include the Privacy criterion in their SOC 2 scope cover approximately seventy to seventy-five percent of GDPR requirements, compared to fifty to sixty percent with Security alone.

Where GDPR Goes Beyond SOC 2

GDPR-Specific Requirements

GDPR Requirement	Description	Not Covered by SOC 2
Lawful basis for processing	Article 6 — every processing activity requires a documented lawful basis (consent, contract, legitimate interest, etc.)	SOC 2 does not require documenting lawful basis for data processing
Data subject rights	Articles 15-22 — right to access, rectification, erasure, restriction, portability, objection, automated decision-making	SOC 2 Privacy criterion covers some rights but not the full GDPR scope
Data Protection Officer	Articles 37-39 — mandatory DPO appointment in certain circumstances	SOC 2 does not require a DPO
Data Protection Impact Assessment	Article 35 — DPIA required for high-risk processing activities	SOC 2 requires risk assessment but not processing-specific DPIAs
Records of processing activities	Article 30 — documented records of all processing activities	SOC 2 does not require processing activity records
International data transfers	Articles 44-49 — legal mechanisms for transferring personal data outside the EU (SCCs, adequacy decisions, BCRs)	SOC 2 does not address cross-border data transfer mechanisms
Data protection by design and default	Article 25 — privacy built into system design; default settings protect privacy	SOC 2 does not explicitly require privacy by design
Consent management	Article 7 — specific conditions for valid consent	SOC 2 Privacy criterion references consent but does not prescribe GDPR-specific consent requirements
Breach notification to supervisory authority	Article 33 — notification within 72 hours to the supervisory authority	SOC 2 requires incident response but not specific regulatory notification timelines

Building a Unified Compliance Program

Implementation Strategy

The most efficient approach — and the one we recommend to all our global SaaS clients — is to build a single control environment that satisfies both frameworks, with supplemental GDPR-specific activities layered on top of the SOC 2 foundation:

| Layer | What It Contains | Purpose | |-------|-----------------|---------|
| Foundation (SOC 2) | Security controls, access management, change management, monitoring, incident response, risk assessment, vendor management, policies | Addresses SOC 2 Trust Service Criteria and the technical/organizational measures of GDPR Article 32 | | Extended controls (SOC 2 Privacy) | Notice, consent, data collection limitation, data lifecycle management, data subject access mechanisms | Addresses SOC 2 Privacy criterion and extends coverage into GDPR data protection principles | | GDPR-specific layer | Lawful basis documentation, DPIA process, records of processing, data transfer mechanisms, DPO appointment, consent management | Addresses GDPR requirements not covered by SOC 2 |

Implementation Priority

Priority	Activity	SOC 2 Benefit	GDPR Benefit
1	Implement access management controls	CC6 compliance	Article 32 security measures
2	Enable encryption at rest and in transit	CC6 compliance	Article 32 pseudonymization and encryption
3	Conduct risk assessment	CC3 compliance	Article 32 risk-appropriate measures; foundation for DPIAs
4	Implement incident response with 72-hour capability	CC7 compliance	Articles 33-34 breach notification
5	Build vendor management program with DPA templates	CC9 compliance	Articles 28-29 processor agreements
6	Document data processing activities	SOC 2 system description	Article 30 records of processing
7	Implement data subject rights mechanisms	SOC 2 Privacy criterion	Articles 15-22 data subject rights
8	Establish data transfer mechanisms	SOC 2 scope documentation	Articles 44-49 international transfers
9	Appoint DPO (if required)	Not directly required	Articles 37-39 DPO appointment
10	Conduct DPIAs for high-risk processing	SOC 2 risk assessment supports	Article 35 DPIA requirement

Data Processing Agreements and SOC 2

For SaaS companies processing EU personal data on behalf of customers, Data Processing Agreements (DPAs) are required under GDPR Article 28. Your SOC 2 report can serve as evidence within the DPA relationship:

DPA Requirement	How SOC 2 Supports It
Technical and organizational measures (Article 32)	SOC 2 report provides independent verification of security controls
Sub-processor management	SOC 2 vendor management controls (CC9) demonstrate sub-processor oversight
Audit rights	SOC 2 report satisfies many customers' audit requirements under the DPA
Breach notification	SOC 2 incident response controls (CC7) demonstrate notification capability
Data deletion upon contract end	SOC 2 controls can include data retention and deletion procedures

Using SOC 2 as GDPR Evidence

Article 32: Security of Processing

GDPR Article 32 requires organizations to implement appropriate technical and organizational measures to ensure a level of security appropriate to the risk. A SOC 2 Type II report with an unqualified opinion provides strong evidence of Article 32 compliance for the security controls within its scope.

Article 32 Requirement	SOC 2 Evidence
Pseudonymization and encryption	CC6 controls demonstrating encryption at rest and in transit
Confidentiality, integrity, availability	Trust Service Criteria coverage across Security, Availability, and Confidentiality
Ability to restore availability	Business continuity and DR controls (CC9, A1)
Regular testing of security measures	SOC 2 Type II demonstrates ongoing control effectiveness over the observation period

How European Customers Use SOC 2 Reports

European customers increasingly accept SOC 2 reports as evidence of technical measures, but with specific expectations:

European Buyer Expectation	How to Address
SOC 2 should include Privacy or Confidentiality criterion	Include at least one data protection-relevant criterion beyond Security
Report should reference GDPR-relevant controls	System description should mention EU data handling where applicable
Data transfer mechanisms should be documented	Include data residency and transfer mechanism documentation alongside the SOC 2 report
DPA should reference the SOC 2 report	Include the SOC 2 report as an exhibit or reference in your Data Processing Agreement

International Data Transfers

Data Transfer Mechanisms

For SaaS companies transferring EU personal data to the US or other non-adequate countries:

Mechanism	When to Use	SOC 2 Relevance
Standard Contractual Clauses (SCCs)	Most common mechanism for EU-US data transfers	SOC 2 provides evidence of the supplemental measures required alongside SCCs
EU-US Data Privacy Framework	Available for certified US companies	Certification is separate from SOC 2; both demonstrate data protection commitment
Binding Corporate Rules (BCRs)	Intra-group transfers within multinational companies	Primarily enterprise mechanism; SOC 2 supports the security measures component
Adequacy decisions	Transfers to countries with EU-recognized adequate protection	No additional mechanism needed for adequate countries

SOC 2 as Supplementary Measures for SCCs

Following the Schrems II decision, organizations using SCCs for EU-US data transfers must implement supplementary measures to ensure an adequate level of data protection. What we advise our clients is that a SOC 2 report with appropriate criteria (Security + Confidentiality or Privacy) serves as strong evidence of supplementary technical measures:

Supplementary Measure Category	SOC 2 Evidence
Encryption of data in transit and at rest	CC6 encryption controls
Access controls limiting who can access personal data	CC6 access management controls
Monitoring and logging of data access	CC7 monitoring controls
Incident detection and response	CC7 incident response controls

Trust Service Criteria Selection for Global Companies

Recommended Criteria for GDPR Alignment

Criterion	GDPR Alignment Value	Recommendation
Security	Addresses Article 32 technical measures	Required (mandatory for all SOC 2)
Confidentiality	Addresses data protection and access restrictions	Strongly recommended — demonstrates data confidentiality commitment
Privacy	Addresses data lifecycle management aligned with GDPR principles	Strongly recommended — maximizes GDPR overlap
Availability	Addresses Article 32 availability and resilience requirements	Recommended
Processing Integrity	Addresses data accuracy (Article 5(1)(d))	Situational

We recommend including Security, Confidentiality, and Privacy for the strongest SOC 2 foundation for GDPR compliance. This combination addresses the technical measures, data protection, and data lifecycle management requirements that overlap between the two frameworks.

Key Takeaways

• In our experience, SOC 2 and GDPR share approximately fifty to sixty percent control overlap on security measures; including the SOC 2 Privacy criterion increases overlap to seventy to seventy-five percent
• We consistently advise clients that a unified compliance program is significantly more efficient than maintaining parallel SOC 2 and GDPR programs
• SOC 2 provides strong evidence for GDPR Article 32 (security of processing) — a Type II report demonstrates ongoing effectiveness of technical and organizational measures
• GDPR goes beyond SOC 2 in data subject rights, lawful basis documentation, DPIAs, records of processing, data transfer mechanisms, and DPO requirements
• We recommend including Security, Confidentiality, and Privacy criteria for the strongest GDPR alignment in your SOC 2 report
• SOC 2 reports can serve as evidence of supplementary measures for Standard Contractual Clauses following Schrems II
• We advise referencing the SOC 2 report in your Data Processing Agreements to demonstrate compliance with Article 28 technical measures
• European customers increasingly accept SOC 2 as evidence of security measures but expect GDPR-specific documentation (DPA, transfer mechanisms, records of processing) alongside the SOC 2 report
• Our recommendation is to build the SOC 2 foundation first, then layer GDPR-specific requirements on top — this approach leverages the control overlap efficiently
• GDPR penalties (up to four percent of global revenue) make compliance a legal imperative, not just a procurement requirement

Frequently Asked Questions

Does SOC 2 compliance mean we are GDPR compliant?

What we tell every client clearly is: no. SOC 2 addresses security controls that overlap with GDPR's technical and organizational measures (Article 32), but GDPR includes extensive requirements beyond security — data subject rights, lawful basis for processing, Data Protection Impact Assessments, records of processing activities, international data transfer mechanisms, and potentially DPO appointment. A comprehensive SOC 2 program (especially with the Privacy criterion) provides a strong foundation for GDPR compliance, but supplemental GDPR-specific activities are required.

Should we include the Privacy criterion for GDPR alignment?

Our strong recommendation for SaaS companies with European customers is yes. The Privacy criterion covers the personal information lifecycle (notice, consent, collection, use, access, disclosure, disposal) that aligns with GDPR data protection principles. Including Privacy increases your SOC 2 and GDPR overlap from approximately fifty to sixty percent to seventy to seventy-five percent. European customers and DPAs increasingly reference SOC 2 Privacy criterion inclusion as evidence of data protection commitment.

Can we use the SOC 2 report to satisfy GDPR audit rights?

Based on what we see in practice: in many cases, yes. GDPR Article 28(3)(h) grants data controllers the right to audit data processors. Many DPAs include a provision allowing the SOC 2 report to satisfy this audit right — the independent CPA attestation provides equivalent assurance to a customer audit. However, some controllers (particularly in highly regulated industries) may insist on their own audit regardless. We advise including a clause in your DPA that references the SOC 2 report as satisfying audit requirements, with a provision for additional audits at the controller's expense if they require more.

How do we handle data residency requirements in our SOC 2 program?

The guidance we give clients is to document where personal data is stored and processed in your SOC 2 system description. If European customers require EU data residency, document which data center regions are available and how data residency is enforced. Your SOC 2 report itself does not mandate data residency, but the system description should accurately reflect where data is stored. Pair this with your DPA and transfer mechanism documentation (SCCs or EU-US Data Privacy Framework certification) to provide complete data residency and transfer transparency.