In a keynote speech delivered at the fourth Telecommunications Sector Sustainability Forum, Professor Umar Garba Danbatta, the Executive Vice Chairman/CEO of the Nigerian Communications Commission (NCC), delved into the critical role of data centres in the evolution of Nigeria’s digital economy.
https://www.digital.zenithbank.com/ZEQ/ZEQ-jan-2026/index.html#p=1Regulatory Framework and Responsibility:
Underlining the NCC’s responsibility as a regulator in the Telecommunications Sector, Prof. Danbatta emphasized the significance of the sector as a critical driver of Nigeria’s Digital Economy. The event, themed “Mainstreaming Data Centres in the Nigerian Digital Economy,” aimed to provide a platform for stakeholders to share insights on the opportunities, challenges, and impact of Data Centre services within Nigeria’s Digital Economy.
Data as the New Oil:
The keynote speaker acknowledged the evolving primacy of data, encapsulated in the phrase “Data is the new oil.” This metaphor underscores the global recognition of data’s importance in the emerging digital economy, prompting the need for appropriate structures and frameworks to optimize its potential.
Data Centres: Key to Digital Infrastructure Security:
Prof. Danbatta underscored the critical role of data centres in improving the security and reliability of the nation’s digital infrastructure. With a centralized architecture, data centres provide a robust defense against malicious attacks and unauthorized access to sensitive information. Additionally, the shared resources within data centres contribute to efficiency and economic viability.
Global Trends and Nigeria’s Position:
The keynote highlighted recent developments, positioning Africa, particularly Nigeria, as a compelling destination for global tech giants. Notable examples include Google’s Equiano subsea fibre cable and Meta’s 2Africa subsea cable, both expected to significantly increase connectivity and economic output. However, this surge in foreign investment raises concerns about digital sovereignty, prompting the need for robust national policies and regulatory frameworks.
Government Initiatives and Investment Opportunities:
Prof. Danbatta commended the Federal Government’s efforts to support data centre services, as outlined in the National Digital Economy Policy Strategy (NDEPS) Pillar #3 on Solid Infrastructure. Nigeria, with its well-nurtured policy and regulatory framework, is poised to attract a substantial share of the global data centre market, creating opportunities for investment and job creation.
Data Centres in the AfCFTA Era:
With the commencement of the African Continental Free Trade Area (AfCFTA), data centres become increasingly critical, offering efficiency and productivity through shared critical resources. This positions Nigeria to harness opportunities within the estimated $1.2 trillion latent treasure in the AfCFTA continental block.
NCC’s Role and Initiatives:
The NCC has long recognized the importance of sharing critical resources within the telecoms industry, leading to the emergence of collocation and infrastructure sharing entities. Efforts towards national roaming and active infrastructure sharing aim to optimize network expansion strategies.
Broadband’s Role in the Ecosystem:
Acknowledging the role of broadband in interconnectivity and national development, Prof. Danbatta highlighted regulatory initiatives geared towards public investment in broadband infrastructure. The recognition of data’s importance led to a reduction in data prices, infrastructure outsourcing, collocation, and the licensing of Mobile Virtual Network Operators, creating a positive impact on operators’ profitability.
Challenges and Transformations:
While acknowledging industry challenges, including digital literacy, poor power supply, taxation, and regulatory complexities, Prof. Danbatta emphasized the positive fundamentals for broadband development in Nigeria. The transformation in the macro-economy, driven by developments in the broadband space, underscores the imperative for Nigeria to focus on broadband development and support for Data Centre Services.
Conclusion:
In conclusion, Prof. Danbatta emphasized the collective effort required to mainstream data centres, ensuring digital sovereignty while reaping socio-economic benefits. The NCC remains committed to facilitating and supporting licensees in exploring opportunities within the data centre space while adhering to data protection regulations.
The keynote speech concluded with a call for collective efforts in shaping Nigeria’s digital destiny and prioritizing data centres as key players in the country’s digital landscape.
