Social Media Licensing in Malaysia: What It Means for Users and Platforms

By Nash Nithi

As of January 1, 2025, Malaysia has implemented a new licensing framework for social media and internet messaging platforms with over eight million registered users. This initiative, introduced by the Malaysian Communications and Multimedia Commission (MCMC), aims to enhance online safety, protect users and regulate the digital landscape more effectively. This article examines the implications of this licensing requirement for both users and platforms, as well as the broader context of digital governance in Malaysia.

Overview of the Licensing Framework

The new licensing regime mandates that major social media platforms, such as Facebook, TikTok, Telegram and YouTube, apply for an annual license to operate in Malaysia. This requirement is part of the Communications and Multimedia Act 1998 and is designed to address various online issues, including cyberbullying, child safety and the proliferation of harmful content.

Key Requirements for Licensed Platforms

User Data Protection: Platforms must implement measures to safeguard user data and privacy.

Child Safety: Companies are required to restrict access for users under the age of 13 and implement features that protect minors from harmful content.

Addressing Online Harm: The regulation compels platforms to tackle issues such as cyberbullying, scams and sexual grooming.

Advertisement Transparency: Platforms must ensure that advertisements do not promote scams or misleading content.

Management of Deepfakes: Providers need to have strategies in place to manage harmful AI-generated content.

Implications for Users

For users, the licensing framework aims to create a safer online environment. By enforcing stricter regulations on social media platforms, the government seeks to reduce incidents of cybercrime and enhance user protection. However, there are concerns regarding freedom of expression, as critics argue that such regulations may lead to censorship or overreach by authorities.

Implications for Platforms

Platforms that fail to comply with the licensing requirements face significant penalties, including fines up to RM500,000 (approximately USD 111,600) or imprisonment for up to five years. The MCMC has emphasized that non-compliance will result in legal action under the Communications and Multimedia Act. This regulatory pressure may compel platforms to rethink their operational strategies in Malaysia.

Challenges Ahead

Compliance Costs: Platforms may incur substantial costs associated with implementing necessary changes to meet licensing requirements.

Operational Adjustments: Companies will need to adapt their services to comply with local laws while balancing user experience.

Potential for Censorship: Concerns persist regarding how these regulations might be enforced and their impact on free speech.

Conclusion

The introduction of social media licensing in Malaysia marks a significant shift in how digital platforms are regulated. While aimed at enhancing user safety and accountability among service providers, it raises important questions about freedom of expression and operational feasibility for tech companies.

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References

Malaysia's New Social Media Licensing Framework - Malay Mail

Implementation Date of Social Media Licensing - Malay Mail

Concerns Over Freedom of Speech - Channel News Asia

Social Media Regulation - ARTICLE 19

Compliance Status of Major Platforms - The Straits Times