The timing couldn’t have been more scripted. Just as the Online Safety Act 2025 (Onsa) came into force on 1 January, the AI chatbot Grok sparked a controversy by generating inappropriate content, prompting action from the Malaysian Communications and Multimedia Commission.
Lawyers Ong Johnson and Lo Khai Yi dissect this new regulatory landscape. They explore whether Onsa is a necessary shield against digital harm or a potential “political tool” for censorship, and what the RM10m penalty cap means for tech giants operating in Malaysia.
They discuss:
The “Grok” precedent: How the recent AI chatbot controversy served as the first real test case for MCMC’s new powers under Onsa
Who is targeted? A breakdown of the three key entities regulated by the act: social Media like X and Facebook, content providers like Netflix or Infotainment, and telecom companies
The ‘teeth’ of the law: Analysing the severe penalties, up to RM10m for serious non-compliance, and whether this is enough to compel Big Tech to change their platform design
Reporting mechanisms: The two distinct routes users now have to report harmful content (direct to platform vs direct to MCMC)
The ‘proactive’ shift: Why companies must move from reacting to reports to proactively moderating content before the MCMC’s upcoming code of practice makes it mandatory.
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