Posted on by Nathalie Tay
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Social Media Licence: What Does This Mean For You & Your Social Media Accounts?
30 Jul
Starting August 1, social media and online messaging platforms operating in Malaysia with a minimum of eight million users will have to apply for a government licence
The Malaysian Communications and Multimedia Commission (MCMC) said the new regulations are to ensure a safer online ecosystem.
Enforcement of the licensing requirements will begin on 1 January, 2025.
“Failure to obtain a licence after the effective date would be an offence, and appropriate legal action can be taken under the Communications and Multimedia Act,” MCMC said in a statement to the press.
Apart from legal action, platforms that fail to apply for social media licences will be banned, Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi warned
“Close them [ban the operations of the social media and online messaging platforms in the country]. That is within the jurisdiction of MCMC,” Zahid said, according to New Straits Times.
The ban will also be enforced starting 1 January next year as well.
While the new regulations might seem sudden, the warning signs have been evident for a long time.
Zahid also rubbished claims that the new regulations are politically motivated to silence dissent against the unity government
“Why fear if the [social] media is used to spread the truth and reveal the true identity [of social media account holders]?” Zahid asked.
“Many countries do not use social media channels now. For example, China does not use the same media channels as we do. They have their own ways of dealing with it. The same goes for Singapore. Many countries require registration [by social media and online messaging platforms].”
Zahid said the new regulations ensure that every user is responsible for what they write and post on social media.
Rise in fraud cases, online scams, cyberbullying, and adult content especially pedophilia, played a big part in Malaysia’s brass knuckles approach to social media platforms
Previously, Communications Minister Fahmi Fadzil highlighted the low compliance rates of some social media platforms with Malaysian laws.
According to Fahmi, Instagram leads with an 88% compliance rate, followed by Facebook (85%), WhatsApp (79%), TikTok (76%), and Telegram (73%).
X has the lowest compliance rate at 25%. The platform is now notorious for cyberbullying and pornography. Recent policy changes allow users to upload adult content without getting banned.
Although Facebook’s compliance rate is high, the overall occurrence of fraud is concerning, with MCMC receiving nearly 100,000 complaints since the beginning of 2024.
Additionally, many scammers are now targeting Malaysians with high education and income levels, according to a study by CelcomDigi.
Many Malaysian businesses relying on social media will be impacted if tech giants choose not to comply with Malaysia’s new regulatory framework
Malaysia has over 28.68 million people actively maintaining a social media presence, according to Meltwater. That’s 83% of the country’s population.
Many businesses, key opinion leaders, and influencers use social media platforms like Instagram, TikTok, and YouTube to engage customers and sell their products.
With social media platforms facing potential bans, these businesses may have to look for alternative marketing channels.
Local media platforms such as newspapers, digital websites, radio, and television may benefit the most if tech giants do not comply with the new regulations
Previously, Fahmi revealed that local media companies lose around RM2 billion annually from a total of RM4.5 billion in advertisement earnings.
Social media companies that have challenged local media companies include Meta, Google, and TikTok, which have significantly disrupted the media landscape.
“I think there should be a balance so that there is a bit of return to media companies… it is still being discussed and I believe all parties can be brought to the negotiation table so that a more conducive environment could be established and realised,” Fahmi said in 2023.
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