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Not strictly. they could both be multiples of sqaures.

For example, factorise 3x3 - 48x.

Neither term is a square but they do become squares when the common factor, 3x, is separated out.

Also, when rationalising surds, one would use the difference of two squares but (at least) one of the terms is not a square.

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Q: In a difference of squares problem both terms must be squares?
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