When Privacy Becomes Policy, Can Brands Stay Silent?

In a digital economy where data is the most valuable currency, trust is the true wealth.

Yet trust is fragile — built over time, but easily fractured in a single directive.

This past week, trust came under pressure as Malaysia’s major telcos — CelcomDigi, Maxis, U Mobile, and Telekom Malaysia — responded to mounting public concern over the sharing of mobile phone data (MPD) with the Malaysian Communications and Multimedia Commission (MCMC).

The government has clarified that the initiative is a Cabinet-mandated effort to support policymaking through anonymised, aggregated data — not personally identifiable information (PII).

Still, the public response has been anything but calm.

“Let’s begin by acknowledging a truth about our landscape — Malaysians tend to overreact when it comes to data sharing, especially when the government is involved,” says Sue-Ann Lim, CEO of Universal McCann Malaysia. “That reaction is often rooted in a lack of clarity, not necessarily in principle.”

Sue-Ann Lim, CEO of Universal McCann Malaysia

The Perception Gap: What’s Legal Isn’t Always Trusted

Even with multiple telcos reiterating that no personal data is being compromised, the optics are challenging.

In a landscape where trust in digital service providers is already low — with only 24% of Malaysians believing their data will be handled responsibly — the bar for transparency is high, and the margin for error razor-thin.

“In today’s connected world, data isn’t just information, it’s identity,” notes Nizwani Shahar, CEO of Havas Malaysia. “Even with assurances of anonymisation, the broader issue is one of perception — and this often outweighs policy in the trust equation.”

“When the state compels data sharing, even for ostensibly benign reasons, it can erode the perceived safety of platforms Malaysians rely on every day,” adds Nisha Devina Roy, MD & CSO of M&C Saatchi Group KL.

“In a climate where trust is already scarce, every directive that feels opaque or top-down chips away at the social capital that brands and institutions depend on.”

Nizwani Shahar, Chief Executive Officer of Havas Malaysia

Data as Opportunity — If Managed Right

Rather than viewing this development as a threat, Sue-Ann Lim urges marketers and consumers alike to see it as an opportunity.

“Siloed data is like buried treasure — valuable but useless until unearthed and understood,” she says.

“What’s being shared here is not personal data; it’s anonymised, non-identifiable information aggregated for the greater good. If governed correctly, with independent scrutiny and rigorous protocols, this initiative can unlock value without eroding public trust.”

And therein lies the pivot point — governance.

All stakeholders agree that the difference between reassurance and resistance lies in how the data is stewarded and communicated.

“Trust is not transferred from regulators — it is earned directly from the consumer,” says Shakthi DC, Founder and Chief Executive Officer of iWISERS. “Brands must go beyond compliance to embrace transparency, clear consent mechanisms, and responsible data use.”

“Silence can be misinterpreted as complicity,” cautions Dato’ Sharein Zainal, MD of Friends Worldwide. “This isn’t the time for safe statements. It’s the time for brands to step up and show consumers where they stand.”

Founder and Chief Executive Officer of iWISERS

From Compliance to Ethical Fluency

For Nisha Roy, the path forward is one of “ethical fluency” — not merely following legal baselines, but consciously anticipating, understanding, and explaining a brand’s data responsibilities in plain language.

“Compliance without empathy is no longer enough,” she says. “Brands should view data stewardship not as a risk to be managed, but as a core pillar of their social contract with Malaysians.”

Transparency, plain communication, and public engagement must now become default behaviours — not crisis responses.

Agencies: Advocates or Bystanders?

When the public trust wobbles, the role of agencies becomes more than creative — it becomes cultural.

Each of the industry leaders agrees: agencies cannot afford to remain passive.

“Digital ethics isn’t a ‘nice to have’ anymore. It’s a leadership imperative,” says Sue-Ann Lim. “Being vocal doesn’t mean resisting every policy. It means spotlighting how data should be collected, processed, and applied with fairness, purpose, and accountability.”

“Agencies must serve as both advisors and advocates,” echoes Shakthi. “If we abdicate this role, we risk becoming complicit in a system that prioritises efficiency over empathy, and compliance over conscience.”

Nisha Roy believes Malaysian agencies are at a crossroads: “If we don’t help shape the narrative, we risk becoming part of the machinery that silences it. The agency community must evolve into ethical interpreters of tech’s cultural impact.”

Nisha Devina Roy, MD & CSO of M&C Saatchi Group KL

A Moment for Meaningful Leadership

This episode is more than a footnote in Malaysia’s data discourse — it is a watershed moment.

One where brands and agencies must decide whether they will remain quiet observers, or rise as stewards of transparency and ethics.

“You can’t govern what you don’t measure,” says Sue-Ann, summing up her call to action. “And you can’t earn trust unless you prove you deserve it.”

In this environment, brands that lead with clarity and conscience will not only retain customer loyalty — they will help shape a more ethical, empowered, and informed digital society.

Because in the age of data, it’s not just algorithms that decide the winners.

It’s trust.