💙 🔷 Not impressed by Big Tech in Q3? Explore these Blue Chip Bargains insteadUnlock them all

Tech giants urge Malaysia to pause plan for social media platform licenses

Published 2024-08-26, 06:30 a/m
© Reuters. FILE PHOTO: A 3D printed Facebook's new rebrand logo Meta is seen in front of displayed Google logo in this illustration taken on November 2, 2021. REUTERS/Dado Ruvic/Illustration/File Photo
GOOGL
-
AAPL
-
AMZN
-
META
-

KUALA LUMPUR (Reuters) -An Asian industry group that includes Google (NASDAQ:GOOGL), Meta (NASDAQ:META) and X urged Malaysia in an open letter to pause a plan that will require social media services to apply for a license, citing a lack of clarity over the proposed regulations.

However, the letter from the Asia Internet Coalition (AIC) was removed from its website late Monday, and the group did not immediately respond to Reuters' requests for an explanation.

Grab, a member of the coalition, said in a separate statement it had not been informed or consulted about the letter, adding that the government's plan did not impact on its operations.

In July, Malaysia's communications regulator said social media platforms with more than eight million users in the country would be required to apply for a license from this month as part of a drive to combat cybercrime.

Legal action could be taken against the platforms if they failed to do so by Jan. 1, 2025, the regulator said.

In the letter dated Friday and addressed to Malaysian Prime Minister Anwar Ibrahim, the AIC - whose members also include Apple Inc (NASDAQ:AAPL) and Amazon (NASDAQ:AMZN) - said the proposed licensing regime was "unworkable" for the industry and could stifle innovation by placing undue burdens on businesses.

The group said there had been no formal public consultations on the plan, leading to industry uncertainty regarding the scope of obligations to be imposed on social media platforms.

"No platform can be expected to register under these conditions," AIC Managing Director Jeff Paine wrote in the letter posted on the group's website.

Malaysia's communications ministry declined to comment on the letter. The prime minister's office did not respond to a request for comment.

The AIC also expressed concern that the proposed regulations could hamper Malaysia's growing digital economy, which has attracted significant investments this year.

© Reuters. FILE PHOTO: A 3D printed Facebook's new rebrand logo Meta is seen in front of displayed Google logo in this illustration taken on November 2, 2021. REUTERS/Dado Ruvic/Illustration/File Photo

The group said it shared the government's commitment to addressing online harms, but the proposed implementation timeline left the industry with insufficient clarity and time to assess its implications.

The government reported a sharp increase in harmful social media content earlier this year and urged social media firms, including Meta and short video platform TikTok, to step up monitoring on their platforms.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.