Malaysia regulates Cloud Services with license requirements from January 2022

The Malaysian Communications and Multimedia Commission (MCMC) will be implementing a light touch regulation on cloud services that are operating in Malaysia. Effective from January 1, 2022, Malaysia has imposed a licensing requirement on the provision of cloud services, although it will only be enforced from April 1, 2022.

Anyone, person or company, providing a cloud service with a local presence or through local data centres in Malaysia is required to be registered under the ASP (C) licence.

Here are three examples of where a company requires a licence:

  • Company A is a locally incorporated company providing cloud service applications to end users.
  • Company B does not have any local presence but is providing cloud service applications through a local data centre, Company C, to end users. Company C would be required to be registered under the ASP (C) licence; and
  • Company D does not have local presence and does not provide the cloud service applications through local data centre to end users. Company D may be required to be registered under the ASP (C) licence and therefore will not be given any regulatory protection to both the user and provider of the service.

Read the official press release from the KKMM website (in Malay)

Read the regulation FAQ from MCMC (in English, Pdf Format)

More information on Asean Briefing

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