Why Data Is More Like Water Than Oil

 

Why Data Is More Like Water Than Oil

Note: This is an update to a blog I wrote years ago as I wanted to reflect more positively on "water as data" and less negatively on "oil as data" to find a better balance in tone for all readers. I hope you enjoy it!


For years, the phrase “data is the new oil” has dominated conversations about the digital economy. It’s catchy, and it conveys the idea that data is valuable. But is oil really the best metaphor for data? Perhaps not—especially when we consider the qualities that make data transformative and the cultural contexts in which we operate.

Rather than comparing data to oil, a finite resource extracted and consumed, we should think of data as water: life-giving, renewable, and essential for growth. This analogy not only better reflects the nature of data but also resonates deeply with the heritage and values of the Middle East.

Why Move Beyond the Oil Analogy?

Oil has powered economies and innovation for decades, and its importance cannot be overstated. However, oil is:

  • Finite: Once consumed, it’s gone.
  • Extractive: Its value comes from taking it out of the ground.
  • Exclusive: Ownership and control are concentrated.

Data, by contrast, thrives on sharing, reuse, and continuous flow. Treating data like oil risks reinforcing outdated notions of hoarding and scarcity—concepts that don’t align with the collaborative, interconnected world we’re building.

Why Water Is a Better Analogy

Water is the foundation of life. In the same way, data underpins modern economies, decision-making, and innovation. Here’s why the comparison works:

1. Essential for Life and Growth

Water sustains communities, agriculture, and ecosystems. Similarly, data sustains organisations, enabling insight, efficiency, and progress. Without clean water, societies struggle; without quality data, businesses falter.

2. Shared and Managed

In Arabic history, water was a communal resource, governed by principles of fairness and stewardship. Wells and irrigation systems were managed collectively to ensure survival in harsh environments. Likewise, data should be governed responsibly—shared across teams and organisations to maximise its value while protecting integrity and privacy.

3. Renewable and Flowing

Water cycles through nature, replenishing itself. Data, too, is renewable: it can be reused, enriched, and combined to create new insights. Unlike oil, which is depleted through use, data grows in value the more it flows.

4. Cultural Resonance

Water holds profound significance in Arabic culture and Islamic teachings. It symbolises purity, knowledge, and prosperity. References to water appear throughout poetry and scripture, reminding us of its sacred role in sustaining life. Framing data as water aligns with these values, making the analogy respectful and meaningful.

Implications for Data Strategy

If we embrace the water analogy, our approach to data changes fundamentally:

  • Governance becomes stewardship: Just as water requires careful management, data needs policies and standards to ensure quality and equitable access.
  • Infrastructure mirrors irrigation: Data pipelines should distribute information efficiently, like aqueducts nourishing fields.
  • Ethics matter: Hoarding water in a desert is harmful; hoarding data in silos is equally counterproductive. Collaboration is key.

A Vision for the Future

Imagine a world where data flows freely yet responsibly—where organisations treat data as a shared resource, not a commodity to lock away. This vision is not only practical but also culturally aligned with values of sustainability and community.

So, next time you hear “data is the new oil”, pause and consider: oil built economies, but water sustains life. In the digital age, data should do the same.

Closing Thought

In the Middle East, where water has always been precious, the analogy carries even greater weight. Just as societies learned to manage water wisely, we must learn to govern data with care—because in the end, both are vital for survival and prosperity.

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