A PYMNTS Company

Malaysia Introduces New Licensing Requirement for Digital Platforms

 |  July 28, 2024

Starting August 1, social media services with more than eight million users in Malaysia will be required to apply for a license, the government announced. This move aims to address the growing issue of cyber offences in the country.

The Malaysian Communications and Multimedia Commission (MCMC) released a statement on Saturday, aligning the license mandate with the cabinet’s decision to enforce compliance with Malaysian laws. These laws are designed to combat scams, cyberbullying and sexual crimes, Reuters reported.

Social media services that fail to apply for a license by January 1, 2025, will face legal action, the commission warned.

The directive comes in the wake of an announcement by Communications Minister Fahmi Fadzil last week. He revealed that the regulator had instructed social media companies to respond to the government’s concerns about cybercrime and harmful content on their platforms.

Earlier this year, Malaysia reported a significant rise in harmful content on social media, prompting the government to urge firms like Facebook’s parent company Meta and the short video platform TikTok to enhance their content monitoring efforts.

Currently, the MCMC has the authority to flag content that violates local laws, but the decision to remove such content rests with the social media platforms.

In related news, the European Commission has opened formal proceedings against TikTok under the Digital Services Act, saying the regulator aims to protect the well-being of online users.

The action follows concerns related to the protection of minors, advertising transparency, data access for researchers, and the management of addictive design and harmful content on the platform, the commission said in a press release.

Reached for comment by PYMNTS, a TikTok spokesperson provided an emailed statement: “TikTok has pioneered features and settings to protect teens and keep under 13s off the platform, issues the whole industry is grappling with. We’ll continue to work with experts and industry to keep young people on TikTok safe and look forward to now having the opportunity to explain this work in detail to the commission.”

Source: Reuters