The Malaysian Communications and Multimedia Commission (MCMC) is pursuing a proposal to restrict prepaid SIM-card ownership to bolster digital security. Under the draft regulation, Malaysian citizens would be limited to just two prepaid SIM cards per telecommunications provider, while foreign nationals would face a cap of two prepaid SIMs in total across all providers.
Why the Regulation is Being Considered
MCMC highlights that under the current guidelines — which allow up to five prepaid SIM cards per provider — it is possible for a single individual to legally hold up to 25 SIMs across networks. The regulator argues this structure enables misuse, such as registering numbers under false identities, creating fraudulent social-media accounts, and coordinating spam or scam activities.
Deputy Communications Minister Teo Nie Ching said the aim is to tighten registration rules and curb the misuse of prepaid numbers, particularly those used for spreading false information or making threats.
Key Elements of the Proposal
- Malaysian citizens: limited to two prepaid SIM cards per telco provider.
- Foreign nationals: limited to two prepaid SIM cards in total, regardless of provider.
- The proposal is part of a public consultation period which is expected to run until the end of November 2025, with enforcement anticipated in the first quarter of 2026.
- The new rules apply to prepaid services; business or enterprise-lines will be subject to separate verification processes.
- Users will also be required to register new prepaid lines using the forthcoming national digital identity system (MyDigital ID), further improving verification integrity.
A Re-Assessment of Everyday Digital Usage
The thrust of the policy is understandable, but the regulatory approach may not reflect how consumers now use connectivity. In the 5G and Internet-of-Things (IoT) era, many households and workers rely on multiple numbers — for tablets, smartwatches, modems, home-security systems, dashcams, and even connected vehicles. Families may share data across different lines, and individuals working online or in platform-economy roles often need more than one active number.
Limiting users to two SIMs per provider may therefore affect legitimate users — while scammers, who typically exploit unverified or cloned lines, may find ways around the rules. The policy sets a cap, but does not in itself strengthen identity verification, dealer audits or the digital traceability of numbers.
MCMC has invited telcos, consumer-rights groups and members of the public to submit feedback during the consultation period. Once finalised, the regulation will be formalised under the Communications and Multimedia Act 1998 and telcos will need to adjust their registration systems accordingly. The rollout is expected in the first quarter of 2026.
In preparation, consumers should review how many SIMs they have registered, and consider how the new limits may impact multi-device households, freelance workers or device-heavy users. The broader challenge will be aligning the policy with evolving connectivity rather than simply scaling back.