Indonesians (especially young adults and university students) took themselves to the street for the dispute. I believe there is some problems with the diplomatic commuicating between the two countries. This may not cause a straight-forward effect, but it nay bring long term damage to Malaysia's relation with Indonesia. The fact that there are oilbeds under the sea around Ambalat shouldn't be used to raise sensitive issues.
The confrontation back in the 60's showed us that there will be no benifits fo both parties if both take strong actions against each other. Malaysia and Indonesia should be sitting together and try to solve the problem with the most efficient way.

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