Authorities in Johor, Malaysia, revoked the business licence of Network School and ordered the immediate closure of its Forest City campus [1, 2, 3].
The shutdown represents a significant blow to the experimental educational project founded by Balaji Srinivasan. The move signals a tightening of regulatory oversight in Forest City, a special development zone that has sought to attract international tech talent and investment.
Local officials ordered the removal or covering of all signboards at the premises [2]. The closure follows a series of regulatory disputes between the school's administration and the state government [1, 3].
Reports on the specific cause of the revocation vary. Some sources said the licence was revoked due to alleged licensing breaches [1]. Other reports said the closure followed allegations that Israeli nationals joined the programme by using passports from other countries [2].
Network School aimed to create a decentralized hub for learning and innovation. The sudden cessation of operations leaves the status of current students, and the future of the project in Malaysia, uncertain [1, 3].
Johor state authorities have not provided a timeline for when, or if, the school may apply for a new licence. The enforcement action was carried out swiftly, resulting in the immediate vacancy of the Forest City site [2].
“Johor authorities revoked Network School’s business licence and ordered the immediate closure of its Forest City campus.”
This action highlights the tension between the 'network state' philosophy—which emphasizes decentralized, borderless communities—and the rigid sovereignty of national governments. By citing both licensing breaches and the nationality of participants, Johor authorities are asserting traditional state control over immigration and business operations within its borders, suggesting that experimental charters cannot bypass local law.
