Malaysia Cybersecurity Act 2024 Framework

For U.S. cybersecurity companies, Malaysia presents a significant growth opportunity as its cybersecurity market is projected to exceed $530 million by 2025. Driven by increasing cyber threats and rapid digitalization, Malaysia is investing heavily in protecting critical infrastructure in banking, energy, telecommunications, and government systems. Malaysia is also strengthening cybersecurity policies under the National Cyber Security Strategy (NCSS) and collaborating with global security firms for advanced solutions.

Under Malaysia’s Cyber Security Act 2024 (CSA 2024), U.S. based cybersecurity companies offering certain services, like managed security monitoring or penetration testing, need to obtain a license from the National Cyber Security Agency (NACSA). However, U.S. cybersecurity companies that are only selling cybersecurity products, including hardware and software, are exempt from this requirement.

Malaysia’s rising cybersecurity needs present opportunities for U.S. firms. High-demand solutions include managed security services, cloud security, endpoint and network protection, identity and access management, penetration testing, SIEM, data encryption, OT/ICS security, and AI-driven threat detection as organizations seek robust defenses against evolving cyber threats.

For more information on licensing requirements or business opportunities in Malaysia, U.S. cybersecurity companies can contact Commercial Specialist Kisok Kumar at office.kualalumpur@trade.gov