After the controversial move to ban TikTokn Shop in Indonesia, many merchants across Southeast Asia wondered if a similar fate would happen to neighbouring operations in Malaysia. That ended on a positive note when Malaysia’s Communications and Digital Minister, Fahmi Fadzil, confirmed that there are no intentions to block or shut down social media and related platforms that have a marketplace.
This confirmation, which had been shared during a December 1 press engagement, is very welcomed among various industry players, including long-established technology association — the National Technology Association of Malaysia (PIKOM) and its digital platform division, e-Commerce Malaysia.
For PIKOM and e-Commerce Malaysia, this move is aligned with the ongoing efforts that the Malaysian Communications and Multimedia Commission (MCMC) is undertaking to develop a comprehensive framework to register and regulate social media and other related social platforms.
“(These moves) and other related policies (being developed) should be formulated in collaboration with industry. (In doing so,) this will ensure that upcoming regulations do not stifle innovation. It should, instead, encourage businesses to embrace the benefits of being actively involved with Malaysia’s digital economy,” it shared in a press statement.
Notably, PIKOM reiterated how Fahmi had confirmed the framework that MCMC is working on should be ready within a month and will focus on lowering the access barrier to the digital economy and ensure it is equitable and sustainable for all Malaysians.
Current regulations and the one being developed under MCMC must encourage local businesses and product developers to leverage on digital marketplaces and get the attention they rightly deserve. The end-goal, of course, is to ensure they are competitive at the regional level.
As TikTok Shop is seen as the catalyst for the ongoing siesmic shift for social commerce as its innovative capabilities have brought together social media, online trading, and eCommerce functions into seamless process.
“(It is with this) backdrop that Malaysia’s digital marketplace narrative is distinct from our regional neighbours, even when they boast several giant-sized locally-owned marketplaces,” PIKOM added in its statement.