Communications and Digital Technologies Minister Solly Malatsi.
Image: X/IOLGraphics
Communications and Digital Technologies Minister Solly Malatsi has defended his policy direction to ease broad-based economic empowerment (B-BBEE) regulations in the Information and Communications Technology (ICT) sector, saying this was to bring the country in line with international best practice.
Malatsi was speaking at the Sentech Africa Tech Week underway at the Century City Conference Centre.
The minister noted how through collaboration between the public and private sector, South Africa has quickly become a leading hub for data centres and cloud computing.
“To fully unlock the potential of data as a national asset, that further drives our competitiveness, economic growth and public service delivery, the government is committed to a regulatory framework that creates that environment for growth, and does not stifle innovation.
“At the same time, we acknowledge the responsibility of protecting our national and public interest in aspects of our data. The past few years have demonstrated the growing confidence that global cloud leaders have placed in South Africa, and our strategic approach to data sovereignty,” Malatsi said.
He said that the country’s current cloud market’s value is expected to surge to beyond R130 billion in 2028, and that major international players such as Amazon, Google, and Microsoft are key contributors to this growth.
“Looking forward, our strategic approach to data sovereignty will focus on maintaining the competitiveness of the local cloud market, while staying responsive to the rapidly evolving needs and capacities of this sector,” Malatsi said.
“Our approach is based on four basic pillars - firstly, by acknowledging that not all data is equally sensitive and requires the same level of regulation (that) we are implementing in a risk-based approach. So it is this distinction between general commercial data and critical sovereign data that our national policy on data and clouds allows for the free-flow of this data, while (still) protecting our national interest.”
“We realise the importance of developing world-class digital infrastructure so that we can demonstrate to the rest of the world that we are truly open for business.
“We believe the expansion of local data regions and data centres is crucial for this purpose.”
He said he understood that the country's regulatory role is critical for private sector investment.
“We are consistently driving to maintain the resilience and relevance of cyber security mechanisms so that we can earn and invest trust in our national digital ecosystem. Data sovereignty means little without cyber resilience. Having our data physically located within our boundaries is only one piece of the puzzle. We must also ensure that it is encrypted, it is monitored, and recoverable in the face of threats.”
Later speaking on the sidelines of the conference, Malatsi said the recent policy directive proposal to the Independent Communications Authority of South Africa (ICASA) requires it to investigate whether to open up applications for individual electronic communications network services (ECNS) licences.
The directive coincided with engagements between Presidents Cyril Ramaphosa and Donald Trump during a trip to the US - including controversial suggestions that Elon Musk's Starlink should be given priority in the country.
“The protection of the country’s data is sacrosanct, and that is the case for every country in the world. What we equally have to do is ensure that we keep abreast with international best practice in this case.
“We (also) have to ensure that we are properly equipped to respond to the threats that exist in this space, where there are constant efforts by nefarious elements, globally, to intercept state data to gain unauthorised access to it, and to ensure that in the unlikely event that such happens, we can retrieve it promptly, quickly and protect citizens from any potential harm.”
Leshope, who addressed how satellite technology is used for innovation, said: “Innovation nowadays happens on top of a base… All the other innovations happening on top of satellite technology include connecting cars, connecting human beings and all those opportunities that come with that.
“If you fall behind on the base of it, you won’t be able to participate first on the innovation side, and you won’t be able to leverage that particular solution.
“All the future innovation and development that is going to happen there, which will be to the benefit of your communities, you are going to miss out. Now we can connect our communities far cheaper with those solutions, but if you don’t have a base, and you’re not part, you lose out on that, and you remain on the most expensive terrestrial options.”
Cape Times