fbpx
Jul2022 B4 MISHU ContentBlog Batch4 05 01

MSC Status – An ‘Overpowered Buff’ That Not Many Possess.

In this digital technology era, starting your own business is a headache we know, but if you’re in the ICT industry, I’m sure you’ve heard of MSC status Malaysia. With Malaysia Multimedia Super Corridor (MSC) rebranded as Malaysia Digital (MD), let’s go through what is it and why companies are so obsessed with the MSC status.  

Apa itu MSC Malaysia?

What is MSC Malaysia meaning?

Well, MSC Malaysia meaning is simply defined as Malaysia Multimedia Super Corridor (MSC) before it was renamed to Malaysia Digital (MD) on its 25th anniversary. Malaysia Multimedia Super Corridor (MSC) was established by the Malaysian Government in 1996 to speed up the growth of the country’s digital business. MSC objectives was crucial to accelerate the objectives of the previous Vision 2020, which was to transform Malaysia to a modern country. 

The government kicked started the MSC digital transformation program with the 7 flagship MSC Malaysia application which acted as a foundation for this program. These Flagship applications include:-

  1. Smart School,
  2. (R&D) Research and Development Cluster,
  3. Electronic Government,
  4. World-Wide Manufacturing Web,
  5. Borderless Marketing,
  6. Multipurpose Card and
  7. Telehealth.

These 7 flagships gave MSC Malaysia meaning as it offered solid business opportunities to enhance the development of the MSC and provide the best suitable environment that supports the companies that are entering the MSC. 

MSC status Malaysia simply refers to a company that will change its MSC status to fully MSC if it meets the MSC Malaysia Status eligibility criteria. You’d probably ask, what is the MSC Malaysia status eligibility criteria and the MSC application guideline? To change a company’s MSC status to fully MSC, it will first need to comply with the MSC Malaysia Status eligibility criteria. Business owners of the informational technology industry can log in to the official MDEC website to check the MSC Malaysia conditions of grant. Inside, users can check the MSC Malaysia status eligibility criteria before filling in the application form.  

The MSC Malaysia status eligibility criteria include:- 

A company must first be a private limited company that can be from the ICT, Global Business Services, Institutions of higher learning and Incubators industry. These companies must then be providers or heavy users of IT and multimedia products & services. Other than that, companies need to have a substantial number of knowledgeable workers working under them and must be executing the proposed activities by MSC. The companies that are applying for the MSC in Malaysia must also have a strong and valid reason that how their business operations will play a major role to the speeding up the development of Malaysia. Finally, the company must also comply with the environmental guidelines and located in the MSC Malaysia cybercentre or cybercity. 

It is easily said that to have MSC status to fully MSC is not an easy process as there are many criteria to be fulfilled. Still, once a company has been accepted and has the MSC status, they can be found in the official website of the MDEC under the lists of MSC status companies which is updated regularly. 

So, what is the main reason startup companies want this ‘buff’ and want to have their MSC status to fully MSC? Well, an MSC Malaysia status company will be able to have benefits such as:- 

Financial Incentives: 

MSC Malaysia status company can enjoy Pioneer Status Privilege, which is a five-year exemption from Malaysian income tax, which is also renewable until 10 years starting from the date the company starts to generate income. Companies can also receive a 100% Investment Tax Allowance on new investments made in MSC Malaysia Cybercentre or Cybercities. Finally, MSC companies are eligible for R&D grants (for the majority Malaysian owned MSC Malaysia status companies). 

Duty-Free Incentives: 

MSC Malaysia Status Company can enjoy the power to import multimedia equipment duty-free with the sole requirement that the equipment will be used in the company’s operation instead of direct sales, trading use or as components in manufactured items.  

Freedom:

MSC status companies can have unrestricted employment of foreign knowledge workers, freedom of ownership and the ability to source capital globally for MSC infrastructure.  

Other Benefits:

The Malaysia Multimedia Super Corridor (MSC) also promises the protection of intellectual properties and the world’s first comprehensive cyber laws can be enjoyed by MSC companies. World-class physical and IT infrastructure is provided at MSC Malaysia cybercentre which is at Cyberjaya, together with globally competitive telecommunication tariffs and services guarantees.  

With all these incentives, it is without a doubt that Information and technology companies are trying their best to meet the MSC Malaysia conditions of grant to obtain the MSC status to fully MSC for their company as it gives them a huge advantage with more than just technology in business. Ready to take on the world with your business? Feel like your digital business start-up will need this ‘buff’ to do even better? Give us a buzz at MISHU

Leave a Reply

Your email address will not be published. Required fields are marked *

Scroll to top
Hide WhatsApp Form

Hello, I am Maya, your AI assistant. I have been trained to answer any questions about our services to make things easier and faster for you. Feel free to ask me anything! Dont worry, for peace of mind, a human colleague will follow up after our chat to confirm important details and offer further assistance. Let's get started. How can I help you today?