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SOC2 vs SOX highlights the difference between two major compliance standards focused on organizational controls. SOC 2 is an auditing framework designed to evaluate how companies manage customer data, emphasizing security, availability, processing integrity, confidentiality, and privacy. It is commonly used by technology and service providers. SOX, or the Sarbanes-Oxley Act, is a U.S. law focused on financial reporting accuracy and internal controls for publicly traded companies. While SOC2 vs SOX both involve audits and internal controls, they serve different purposes—SOC 2 for data protection and SOX for financial accountability—making each essential depending on your industry and regulatory needs.
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