Nigerian lawmakers advance legislation requiring Facebook and TikTok to establish local offices

The Nigerian Senate made significant progress on Thursday in its efforts to require global social media companies to establish a physical presence in the country, with stakeholders voicing overwhelming support for the proposal during a public hearing in Abuja.

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This public hearing, convened by the Senate Committee on Information and Communications Technology and Cyber Security, also garnered broad support for a separate bill aimed at establishing an Artificial Intelligence Academy in Omuo-Ekiti, Ekiti State.

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The proposed social media legislation, sponsored by Senator Ned Nwoko, representing Delta North, seeks to amend the Nigeria Data Protection Act, 2023, to compel social media companies operating in Nigeria to maintain a physical office within the country's borders.

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Meanwhile, the bill to establish the Artificial Intelligence Academy is being sponsored by Senator Yemi Adaramodu, Chairman of the Senate Committee on Media and Publicity, representing Ekiti South.

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Senator Shuaib Salisu, Chairman of the Senate Committee on ICT and Cyber Security, representing Ogun Central, declared the hearing open and stated that the two bills are intended to bolster Nigeria's digital economy and technological advancement.

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According to Senator Salisu, the social media bill aims to enhance the regulation and protection of Nigeria's cyberspace, while the proposed AI Academy is designed to serve as a centre of excellence for artificial intelligence education, research, and innovation.

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President of the Senate, Godswill Akpabio, who was represented by Deputy Senate Leader Lola Ashiru, representing Kwara South, described both proposals as forward-looking and nationally significant.

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Senator Akpabio noted that the bill requiring social media companies to establish physical offices in Nigeria is not intended to stifle their operations, but rather to promote greater accountability and engagement with the country.

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Senator Nwoko defended the bill, dismissing concerns that it could discourage investment or target technology companies, stating that the legislation is neither punitive nor hostile to innovation.

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He emphasized that the bill seeks to deepen the engagement of social media companies with Nigeria by encouraging them to become true corporate citizens of the country.

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Senator Nwoko cited examples of countries with smaller populations and digital markets than Nigeria that have successfully attracted global technology firms to establish local operations, including the United Kingdom, the Netherlands, Spain, Singapore, India, the United Arab Emirates, South Africa, Brazil, Australia, and Japan.

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He argued that many countries, including the United Kingdom, India, the United Arab Emirates, South Africa, and Brazil, have attracted global technology firms to establish local offices that support various operations, such as engineering, artificial intelligence research, and customer support.

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Senator Nwoko noted that these countries have created employment, expanded tax revenues, strengthened regulatory engagement, promoted innovation, and encouraged technology transfer to their citizens by encouraging global technology companies to establish local operations.

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Citing Ireland as an example, Senator Nwoko stated that the presence of companies such as Meta, Google, LinkedIn, TikTok, and X has transformed the country into one of Europe's leading technology hubs through job creation, innovation, and increased foreign investment.

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He argued that Nigeria, as Africa's largest digital market, should enjoy similar economic and technological benefits, posing the question of why the country should not enjoy the same opportunities as other countries with smaller digital markets.

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The committee is expected to consider memoranda submitted by stakeholders before presenting its report to the Senate for further legislative action.