An Asian industry group, including Google and Meta, urges the Malaysian government to pause its new social media licensing plan, citing concerns over clarity and potential harm to innovation.
Bollywood Fever: An Asian industry group that counts tech giants like Google, Meta, and X (formerly Twitter) among its members has called on the Malaysian government to halt its plans for a new social media licensing regime.
The group, the Asia Internet Coalition (AIC), expressed concerns over the lack of clarity surrounding the proposed regulations, which could have significant implications for the digital economy and innovation in Malaysia.
In July, Malaysia’s communications regulator announced that social media platforms with more than eight million users in the country would be required to apply for a license starting this month.
The move is part of a broader effort to combat cybercrime. Platforms that fail to comply by January 1, 2025, could face legal action.
In an open letter addressed to Malaysian Prime Minister Anwar Ibrahim, the AIC described the proposed licensing requirements as “unworkable” and warned that they could place undue burdens on businesses, potentially stifling innovation.
The group also criticized the lack of formal public consultations on the plan, which has left industry players uncertain about the specific obligations they would need to fulfill.
“No platform can be expected to register under these conditions,” AIC Managing Director Jeff Paine wrote in the letter, which was posted on the coalition’s website.
Paine emphasized the need for clear and consistent guidelines to ensure that platforms can comply without jeopardizing their operations or the broader digital economy.
Malaysia’s communications ministry declined to comment on the letter, and the prime minister’s office has not responded to requests for comment.
The AIC also raised concerns that the proposed regulations could harm Malaysia’s burgeoning digital economy, which has seen significant investments in recent years.
While the group acknowledged the government’s commitment to tackling online harms, it argued that the current timeline for implementing the licensing regime does not give the industry enough time to fully understand and adapt to the new rules.
Earlier this year, the Malaysian government reported a sharp increase in harmful content on social media and urged companies like Meta and TikTok to enhance their monitoring efforts.
However, the AIC warns that the proposed licensing approach may not be the most effective way to address these challenges and could have unintended consequences for businesses operating in the country.
As the debate continues, industry stakeholders are urging the Malaysian government to engage in more comprehensive consultations to develop a regulatory framework that balances the need for online safety with the importance of fostering innovation and economic growth.
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