Grab Malaysia has distanced itself from a recent protest against Malaysia’s new social media licensing regulations.
The ride-hailing and food delivery titan wants everyone to know: they’re not in on this one.
As the dust settles from the Asia Internet Coalition’s (AIC) open letter to Prime Minister Datuk Seri Anwar Ibrahim, Grab Malaysia is setting the record straight.
Despite initially being named as part of the coalition, Grab insists it wasn’t informed or consulted about the protest against the proposed regulatory framework that’s set to shake up social media and instant messaging platforms.
“The proposed regulation does not impact our operations and therefore we had no part in it. We did not and are not commenting on the matter,” a Grab Malaysia statement read, emphasizing their focus on supporting Malaysia’s growth instead.
Pushback from Industry Players
The regulations, which will take effect on 1 January 2025, require platforms with over eight million Malaysian users to secure an Applications Service Provider Class Licence.
The Malaysian Communications and Multimedia Commission (MCMC) introduced this framework to tackle a surge in cybercrime, including online fraud, cyberbullying, and crimes against children.
READ MORE: Scam Jam: Bank Negara Malaysia’s Rock-Solid Plan To Crush Fraud
The AIC, which includes tech giants like Google, Meta, Amazon, Apple Inc., and X, argues that the new rules are “unworkable” and could stifle innovation.
Its letter highlights five significant issues with the proposed regulations:
Implementation Timeline: The AIC called for a more reasonable grace period and implementation timeline to allow companies to prepare for compliance adequately.
Lack of Consultation: The coalition criticized the absence of meaningful and transparent consultation with the industry, emphasizing the need for more inclusive discussions before implementing such significant changes.
Regulatory Uncertainty: The group raised concerns about the potential economic impact of the regulations, citing uncertainty around how they would be enforced and their broader implications for the digital economy.
Licensing and Liability: The letter pointed to issues surrounding the proposed licensing regime, intermediary liability, and the threshold for licensing requirements, arguing that these could place undue burdens on businesses.
USP Fund Contribution: The coalition questioned the requirement for contributions to the Universal Service Provision (USP) Fund, seeking clarity on how these funds would be utilized.
