Why did the Madani government reject acquiring Datasonic Technologies?

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Madani Government Rejects Datasonic Technologies Acquisition Due to Security and Sovereignty Concerns

The Madani Government has decided not to proceed with the acquisition of Datasonic Technologies Sdn Bhd (DTSB), a key provider of citizen identity services. This decision stems from media reports about a proposed takeover and underscores the government's commitment to safeguarding national security and sovereignty, particularly concerning sensitive data like citizen identities. The government will continue to explore strategies that ensure the safety and integrity of this data while also demanding value for money in any related services.
National Security Council Cites Strategic Asset Concerns

The National Security Council (MKN) explicitly stated that the identity of the people is considered a critical strategic asset for the nation. Consequently, the government prioritises aspects of security and sovereignty in managing such information. This principle guided the decision not to acquire DTSB, ensuring that the control and management of citizen identity services remain aligned with national security imperatives.
Framework for Regulating Identity Management

Efforts to regulate the management of people's identity are conducted through a comprehensive framework. This framework encompasses legal, financial, governance, and security aspects, indicating a structured approach to overseeing identity-related services. The government's intention is to maintain strict oversight and control over these sensitive areas.
Continued Exploration of Value-Driven Strategies

The government remains dedicated to exploring and examining proactive and effective strategies to preserve the safety and sovereignty of citizens' identities. Crucially, any such strategies must also ensure that public funds are utilised efficiently, providing the best value for every ringgit spent. This dual focus on security and fiscal responsibility shapes the government's ongoing approach.
Commitment to Service Improvement for Safety and Reliability

Furthermore, the government is committed to ensuring that all parties involved in identity services continue to enhance their offerings. The objective is to guarantee that these services are both safe and reliable for the public. This includes ensuring that providers like DTSB, which has been a vendor for MyKad and ICAO-compliant passports since 2012 and holds mandates for new identity structures like MyTentera and MyPOCA, meet these stringent standards.

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Why did the Madani government reject acquiring Datasonic Technologies?

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