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What’s the difference between OCI Compartments and AWS Organizational Units?

Both provide hierarchical resource organization for policy and billing, but OCI compartments are a logical grouping within a single tenancy, while AWS OUs group entirely separate AWS accounts under AWS Organizations.

Practical implication

OCI IAM policies attach to compartments and inherit downward automatically; AWS requires Service Control Policies at the OU level plus separate IAM policies within each account — meaning OCI’s model requires less cross-account tooling to achieve similar governance outcomes.

Daniel Cross
Head of Platform Engineering
Hana Suzuki Technical Reviewer
Principal Security Engineer

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