Malaysia: Meta dispute deepens over alleged ad revenue from scams/gambling | AGB
Summary
Punchy take: Malaysia’s communications regulator has ramped up pressure on Meta after Reuters cited internal documents suggesting a sizeable slice of the company’s ad revenue may have come from scams, illegal gambling and other banned goods.
The Malaysian Communications and Multimedia Commission (MCMC) confirmed it will summon Meta for a second meeting and launch a formal probe. Documents cited by Reuters indicated Meta internally flagged up to 10.1% of 2024 revenue — a figure that could be as high as MYR66.5 billion — as tied to problematic ads, and suggested users may have seen as many as 15 billion ‘high-risk’ scam ads per day. Meta pushed back, calling the 10.1% figure “rough and overly inclusive.”
Between 1 January and 4 November 2025 Malaysian authorities requested removal of 157,208 illegal online adverts and 44,922 scam ads, most originating on Meta platforms (Facebook and Instagram). Regulators also highlighted large volumes of gambling adverts across platforms and warned that tech companies were profiting while public resources were used to police content. MCMC is considering tougher measures — from licensing social platforms to new rights for victims and a public safety/online-harm rating — while Meta warns heavy-handed rules could stifle innovation but says it is open to dialogue.
Key Points
- MCMC will summon Meta for a second meeting and has opened a formal investigation into alleged ad revenue from scams and illegal gambling.
- Reuters-cited internal Meta documents reportedly estimated up to 10.1% of 2024 revenue linked to banned ads — a headline figure Meta disputes as overly inclusive.
- Documents suggested up to 15 billion “high-risk” scam ads shown per day; annualised revenue estimates in the reporting ranged from roughly MYR24.9bn to MYR66.5bn depending on interpretation.
- Malaysian takedown requests (Jan–Nov 2025) totalled 157,208 illegal ads and 44,922 scam ads, predominantly on Facebook and Instagram.
- Gambling adverts remain a major enforcement challenge across platforms, with high takedown numbers on YouTube and significantly more action needed on Meta platforms, regulators say.
- Regulatory options proposed include licensing social media, statutory victim rights to sue, mandatory transparency reporting, and a public safety/online-harm rating system.
- Meta rejects broad-brush characterisations and warns against heavy-handed regulation but says it is willing to continue talks with Malaysian authorities.
Why should I read this?
Short and blunt: if you work in advertising, gaming, affiliates, platform compliance or run social channels in Malaysia or the region, this could hit your bottom line and change the rules of the game. The regulator is moving from requests to a formal probe and is openly talking about licensing and legal rights for victims — that matters. We read the detail so you don’t have to.
