FINAS: Illegal Streaming Content Risks Privacy, Exposes Children to Harmful Content & Undermines Local Film Industry

The use of illegal or pirated software on streaming devices is not only a violation of intellectual property laws, it also poses serious risks to personal data security, household safety, and the sustainability of the local film industry.

Authorities are raising concerns that downloading unauthorised software, commonly used to access pirated content, exposes users to cybersecurity threats, inappropriate material, and hidden surveillance features.

Image Credit: Astro Awani

According to Datuk Azmir Saifuddin Mutalib, Chief Executive Officer of the National Film Development Corporation Malaysia (FINAS), these risks go far beyond simple piracy.

“These devices or software that people download often contain backdoor systems,” he explained. “They can access personal data and even connect to other devices within your home network.”

One particularly alarming issue is the possibility of covert monitoring.

“What is even more shocking is that some of these boxes can record audio without users realising it,” Azmir said. “When people purchase or subscribe to these devices, they may not be aware that their homes are essentially being intruded upon.”

Beyond privacy concerns, there are also growing fears about exposure to harmful online content, especially among children. Without any built-in safeguards, these platforms may allow unrestricted access to explicit or dangerous sites.

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“If children use these platforms, there are no limits,” Azmir warned. “They can access pornographic websites and even online gambling platforms freely.”

He stressed that many parents remain unaware of the dangers posed by these devices, which are often marketed as cheap and convenient entertainment options.

“This is a serious issue. The risks are not just to individuals, but to families and society as a whole."

Viewers also share responsibility in piracy

Azmir further emphasised that responsibility for piracy does not lie solely with those who distribute illegal content, viewers themselves also play a significant role.

“Sometimes we think piracy is only about the people distributing illegal content,” he said. “But audiences are also at fault when they choose to watch through illegal means.”

He explained that this misconception continues to persist, despite the widespread impact piracy has on the creative industry, particularly the local film sector.

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Azmir also highlighted the immense cost and effort involved in producing a film, urging the public to better appreciate the value of creative works.

“Making a film is not easy,” he said. “Imagine RM10 million, that’s like building a boutique hotel.”

He illustrated his point with a simple analogy:

“You’ve invested in building a hotel, complete with rooms and facilities, and when it opens, people come in expecting to stay and eat for free. Naturally, the investor would be upset.”

According to him, the same principle applies to the film industry, where significant investments are often undermined by illegal viewing habits.

“Sometimes when we pay RM30 or RM40 to watch through platforms like Astro First or Astro Best, people assume that’s the value of the film,” he explained. “But in reality, producing a film can cost up to RM10 million.”

Push for forensic watermarking to combat piracy

In a further effort to curb piracy, industry players are now calling for the adoption of forensic watermarking technology as a protective measure.

The Film Censorship Board (LPF) has been urged to allow film producers to embed forensic watermarks in their content to help identify the source of leaks that could lead to piracy.

According to Zahrin Aris, Chief Executive Officer and Honorary Secretary of the Malaysian Film Producers Association (PFM), the technology is crucial in strengthening security and safeguarding film content.

Image Credit: Astro Awani

“As a precautionary step, producers should be allowed to place watermarks,” he said.

“At the very least, if there is a leak, we can trace where it originated and identify the source that led to piracy.”

Zahrin explained that forensic watermarking enables producers to track the origin of illegally distributed material, providing a clearer path to enforcement and prevention.

However, he revealed that producers are currently facing challenges, as the LPF has requested that submitted materials for evaluation must not contain any watermark.

“Recently, we received a request from LPF stating that when submitting content for evaluation, watermarks are not allowed."

The directive has raised concerns among filmmakers, who fear that the absence of watermark protection increases the risk of content leaks during the review process.

“We are asking LPF to reconsider this decision,” Zahrin added.

PFM has since submitted an official letter urging the board to review its existing procedures, with the aim of better protecting the rights and security of local film productions.

Call for greater awareness and ethical viewing

Azmir called on the public to support the local entertainment industry by choosing legal viewing channels and understanding the broader impact of piracy.

By opting for legitimate platforms, audiences not only protect their personal data and family safety but also contribute to the growth and sustainability of Malaysia’s film industry.

As piracy continues to advance with technology, it’s important to recognise that saving money or seeking convenience should never come at the cost of personal privacy, security, or the wellbeing of content creators.

Featured Image Credit: Unsplash, Astro Awani, Freepik