On Tuesday, a minister stated that tech companies must adhere to local laws to maintain their operations in Malaysia. This announcement followed an industry group's plea to the government to halt a proposed plan requiring social media platforms to obtain a regulatory license. The Asia Internet Coalition (AIC), which includes members like Google, Meta, and X, expressed its concerns in an open letter to Prime Minister Anwar Ibrahim, highlighting the lack of clarity regarding the new regulations.
Communications Minister Fahmi Fadzil confirmed that the government is open to discussions with the AIC and other industry groups but has no intention of postponing the implementation of these regulations, which are designed to combat increasing cybercrime. According to the plan, social media platforms and messaging services with over eight million users must secure a license and could face legal repercussions if they fail to comply by January 1, 2025.
Fahmi emphasized that while big tech companies are influential, the law holds greater authority. He stated, "If they wish to operate in Malaysia, they must respect and comply with our laws." He also noted that initial discussions with social media representatives about the plan were constructive. The AIC's letter, initially dated August 23, was removed from its website on Monday evening. Ride-hailing company Grab, a member of the AIC, separately stated that it had not been consulted about the contents of the letter.
A revised version of the letter, dated August 26, was subsequently uploaded to the AIC's website with several sentences omitted, including a mention of the government's plan being "unworkable" for the industry. The letter also excluded a list of AIC member companies, which is still accessible on the group's website. In a Tuesday statement, Malaysia's communications regulator announced it would conduct a public inquiry and seek feedback on the regulation from industry stakeholders and the public.
The AIC had previously pointed out that the absence of formal public consultations had resulted in industry uncertainty and concerns about potential unintended consequences from the regulatory license.
