KUALA LUMPUR, Aug 1 — The Malaysian Communications and Multimedia Commission (MCMC) has today released details of its regulatory framework which would require social media and messaging apps to apply for an annual licence, including a frequently asked questions (FAQs) document.

Who needs to apply for the licence? No, your average tweetfamous, Facebook aunties and VTubers — in fact, any Malaysians — do not need to apply for it.

But any social media and internet messaging companies with at least eight million Malaysian users do. This would include:

  • Facebook
  • Facebook Messenger
  • Instagram
  • TikTok
  • WhatsApp
  • Telegram
  • WeChat
  • X (formerly Twitter)
  • YouTube

This new regulation takes effect on January 1, 2025.

How do they determine which platforms need a licence?

MCMC said it will primarily use the data from its official surveys, including its Internet User Survey to quantify the number of Malaysia users. Additionally, it will also factor in other publicly available and reliable data points to determine whether any service providers have the required user threshold.

What do the platforms need to implement, under the licence? This includes implementing measures to, among others:

  • Protect user data
  • Protect child safety, including restricting any users under 13
  • Address online harm including cyberbullying, online scams, and sexual grooming activities
  • Promote advertisement transparency and restrict advertisement promoting scams
  • Safeguard minors from harmful content and misleading advertisements
  • Manage deepfakes and harmful Artificial Intelligence (AI) generated content

According to MCMC, the new regulatory framework is in line with the government's efforts to create a safer online environment for all Malaysians, especially children and those vulnerable to online harm.

What do platforms need to know about the licence?

  • The licence is valid for one year, and they are required to apply annually.
  • Fail to register by January 1, 2025, and they may face fines not more than RM500,000 or five years imprisonment or both if they continue to operate in Malaysia.
  • The service providers are given a five-month grace period from today to apply and obtain their licence.
  • According to the commission, there will not be any restriction on foreign shareholding under the class licence for the service providers.

MCMC will have the authority to take action against any licensed service provider for any breach of licence conditions or conduct.

Should such breaches occur, MCMC will assess the nature of the violation including its severity, impact, and frequency as well as the compliance record of said service provider in deciding the appropriate action against them.

In such circumstances, MCMC can initiate actions ranging from an administrative warning, issuance of compliance direction to rectify the breach, impose a civil penalty or compound offences to proportionately deal with the breach.

In the most severe and grave nature of the violation, MCMC can suspend access to the service provider’s platform; deregister the licence or commence prosecution.