Key Moments:
- Meta continues to contest Malaysia’s licensing requirements for major social media platforms
- Since January, platforms with more than eight million local users have been mandated to obtain a license from the MCMC
- The MCMC reports over 321,000 gambling-related posts were taken down between 2022 and mid-2025
Regulatory Efforts Spark Pushback from Meta
Tensions have risen as Meta opposes Malaysia’s latest regulatory efforts aimed at curbing illegal online gambling and cybercrime. The new licensing policy, enforced since January, requires digital platforms with over eight million local users to obtain approval from the Malaysian Communications and Multimedia Commission (MCMC). Authorities believe this framework will help mitigate scams, fraud, and unauthorized gambling-related content online.
Communications minister Fahmi Fadzil has voiced frustration at Meta’s reluctance to comply, singling out the company’s lack of cooperation with takedown directives. Ministry reports indicate that out of 168,000 removal requests sent to Facebook, approximately 120,000 were tied to gambling.
Meta Advocates for Collaboration Over Regulation
Meta maintains that its own safety mechanisms manage harmful content effectively. Rafael Frankel, Meta’s director of public policy for Southeast Asia, said:
“We’ve been improving our internal safety protocols long before this regime was enacted. We don’t need any licence to continue that work.”
Frankel has cautioned that rigid regulations may undermine digital safety rather than enhance it. He emphasized that criminal organizations often circumvent verification, suggesting that cooperation among technology companies, civil organizations, and authorities is more effective than strict licensing.
Disagreement Over Accountability Measures
Despite Meta’s stance, the MCMC remains firm that licensing is necessary for accountability. From 2022 to mid-2025, the commission reported over 321,000 gambling-related removals, alongside significant volumes of fraudulent and obscene materials taken down. Officials argue that such action is crucial for safeguarding citizens and restoring confidence in digital platforms.
| Year/Period | Gambling-Related Removals | Total Removal Requests to Facebook | Gambling-Related Requests |
|---|---|---|---|
| Since 2022 – mid-2025 | 321,000+ | 168,000 | ~120,000 |
Implications for iGaming Operators and Affiliates
Malaysia’s approach could influence regulatory developments across Asia. The ongoing dispute highlights the increasing scrutiny of online gambling content as part of broader technology oversight. Tougher rules may result in platforms facing greater challenges regarding gambling advertisements and affiliates being compelled to adapt their promotion strategies.
For affiliates, expanded content oversight could restrict advertising opportunities and limit campaign breadth. Ensuring compliance with local licensing requirements, as well as closely monitoring ad placements, is expected to become a more prominent aspect of responsible marketing practices in the region.
Navigating the Balance Between Safety and Freedom
Meta contends that overly restrictive rules risk channeling users into unregulated corners of the digital world. With possible measures on the table such as smartphone bans for minors, Meta warns this could have the unintended consequence of steering younger individuals into less secure environments. Frankel said:
“If you just focus on banning social media, you’re going to push teens into less safe spaces.”
The ongoing standoff between Meta and the Malaysian authorities underscores a wider convergence between gambling regulation and digital governance. Market participants are closely observing Malaysia’s next steps for insights into the evolving landscape of online compliance.
- Author
Daniel Williams
