Locally-developed digital platforms can drive socioeconomic growth
AS A step towards reducing dependence on foreign digital platforms, there have been suggestions for Malaysia to develop its own digital applications.
Digital platforms are online systems or ecosystems that enable interaction, transactions and information exchange between users and businesses or services through digital technology. These platforms can take the form of a website, mobile application, software or online network that provides access to content, products and services.
Examples of digital platforms include social media such as Facebook and Instagram; e-commerce (Shopee, Lazada, Amazon); digital services (Grab, FoodPanda); artificial intelligence (AI) and technology (ChatGPT, Google Bard); online learning; and digital banking and finance.
Own Digital Ecosystem
In August last year, Bernama quoted Minister of Communications Datuk Fahmi Fadzil as saying that the government will look into proposals to develop a dedicated social media application for Malaysians, similar to initiatives undertaken by other countries.
He said foreign social media platform providers are profiting from Malaysian users while failing to ensure their security.
Commenting on the matter, Malaysian Cyber Consumer Association deputy president Azrul Zafri Azmi said Malaysia should develop its own digital platforms to mitigate the risks of relying on foreign technology companies, which could potentially affect the nation's digital sovereignty.
Citing a past incident when popular social media app TikTok — owned by a China-based company — restricted the accounts of several major Malaysian media outlets, he said this demonstrated how foreign companies have the power to determine what content Malaysians can and cannot access, even when it involves mainstream national media.
Currently, profits from those foreign platforms flow out of the country, says Azrul (Source: Azrul Zafri's Instagram)
'If Malaysia has its own digital platforms for social media, e-commerce, and AI and technology, media freedom and public discourse can be better aligned with responsibility, ethics and national interests, thus preventing what is referred to as 'digital colonisation'.
'This is more about ensuring that we do not have to comply with foreign platform regulations beyond our own national laws,' he told Bernama recently.
Azrul Zafri added that foreign platforms collect vast amounts of data from Malaysians, including their personal information, spending patterns and political preferences, pointing out that if this data falls into the wrong hands, it could be used for commercial exploitation or manipulation. It can even threaten the nation's stability, he said.
'Currently, profits from those foreign platforms flow out of the country rather than benefiting Malaysia's economy. If we establish our own digital ecosystem, this revenue can remain within the country, benefitting local companies and creating more job opportunities for Malaysians,' he said.
AI should be built on data within Malaysia's cultural context rather than simply replicating Western models
AI in Malaysian Context
Azrul Zafri believes that Malaysia has a wealth of technology experts and digital talent, but many choose to work for foreign companies due to the lucrative salaries offered. Nevertheless, he added, several local companies have already proven their capabilities in the digital sector, including Carsome, South-East Asia's largest automotive e-commerce platform; Aerodyne, one of the world's leading drone and data technology companies; and SAYAJUAL.IO, a local social commerce platform supporting small and micro businesses without relying on foreign platforms.
Discussing the key challenge of developing AI platform models that understand and support local languages and dialects, Azrul Zafri said AI should be built on data within Malaysia's cultural context rather than simply replicating Western models, which may not align with local values and culture.
In this regard, he said, the government and the private sector and academics must collaborate to ensure that AI platforms developed in Malaysia truly benefit the people and the national economy.
'One major challenge is the lack of data as AI requires vast amounts of information to understand local languages and dialects. Currently, most global AI models do not prioritise Bahasa Melayu, let alone our local dialects.
'AI models must also be built on principles of transparency and fairness, and without bias towards any community group,' he said, adding Malaysia needs more experts in natural language processing to develop AI models that can understand the Malay language context more accurately.
Developing AI models also requires strong computing infrastructure, including data centres and graphics processing units (GPUs) that are costly to set up.
'Many local companies still rely on foreign providers such as Amazon Web Services (AWS) and Google Cloud, which pushes up AI (platform) development costs,' he said, acknowledging that the development of such platforms demands significant investment in research and development (R&D).
He also said Malaysia can ensure the safety and ethical use of local AI platforms through government policies that regulate their application and protect national security.
This includes establishing a national AI monitoring body to assess security and privacy risks, and involving NGOs and academics in efforts to educate the public on digital literacy and cybersecurity awareness when using AI technology.
Mohd Khairie asks if the development of the platforms is more economically or socially driven (Source: experts.uum.edu.my)
Refining Objectives
Meanwhile, Universiti Utara Malaysia (UUM) School of Multimedia Technology and Communication dean Assoc Prof Dr Mohd Khairie Ahmad views the idea of developing proprietary digital platforms as an innovative initiative with the potential to drive the country's socio-economic growth.
He, however, said the nation's main objectives of developing such platforms must be carefully refined.
'Is the development (of these platforms) more economically or socially driven? If the goal is to boost the economy, such as providing alternatives to existing e-commerce platforms, then it holds great potential.
'The existence of Malaysian e-commerce platforms will not only strengthen the local digital economy ecosystem, but also support efforts to improve and sustain local businesses.
'It will also enhance control over economic outflows while reinforcing national taxation,' he said.
'However, if the aim of introducing domestic digital platforms is for social control, particularly in social media, then its necessity must be examined more deeply.
'(This is because) social control is closely tied to user behaviour. Establishing a local digital platform is just one strategy for managing these issues but not a complete solution,' Mohd Khairie added.
He pointed out that Malaysia has had its own e-commerce platforms for over 25 years. 'Many people are unaware that Lelong.my (an e-commerce platform) has been in operation since 1998. Others include Mudah.my, PGMall and Carousell Malaysia.
'These examples prove that Malaysia is indeed capable of offering its own digital platforms. It is certainly possible for our country to develop more innovative and expansive platforms in line with advancements in AI technology and the nation's proactive digital policies,' he said.
According to Megat Zuhairy, transparent governance is crucial to develop strong digital ecosystem (Source: Media Mulia)
Improving Cyber Security
Sharing his views, National Cyber Security Agency (NACSA) CEO Dr Megat Zuhairy Megat Tajuddin said developing a proprietary digital platform, especially for social media, does not guarantee that cybersecurity issues can be fully addressed.
However, he noted that with its own social media platform, Malaysia would have greater control over the cybersecurity aspects of the platform.
'For example, by having our own source code, we can review and identify vulnerabilities without relying too much on external parties. This allows us to take faster action to reduce risks for users,' he said.
He believes the success of a locally developed digital platform will depend on three key elements: The availability of local experts with integrity and high skills; a clear framework and accountability process for all stakeholders; and stable, advanced and reliable technology. 'Transparent governance as well as cooperation between the public and private sectors are also crucial to develop a strong and complementary digital ecosystem.
'Malaysia can implement more effective identity control mechanism by requiring user verification through MyDigital ID. This step can reduce the misuse of digital platforms, including committing online fraud and spreading false information,' he added. — Bernama
This article first appeared in The Malaysian Reserve weekly print edition
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