Google’s Russia branch wants to file for bankruptcy

According to Reuters, Google’s Russia branch will file for bankruptcy because it cannot continue to operate. In 2021, the unit reports revenue of more than 2 billion USD and employs more than 100 people in this market.

Google may be the first Big Tech to file for bankruptcy in Russia duty

“The authorities have frozen Google Russia’s bank account, making it impossible for us to operate the branch, including hiring, paying salaries for employees here, paying suppliers, sellers as well as paying staff here. such as meeting other financial obligations. Google in Russia has announced its intention to file for bankruptcy in this situation,” a spokesman for the company said. Google share with page The Verge.

In March, Google stopped working business advertising in Russia after the country launched a military offensive against Ukraine. YouTube – a video sharing platform owned by the “search giant” also blocked ads from showing on Russian national media channels and eventually decided to turn off these channels as well.

December 2021, Russia fines Google $98 million after enterprise This internet does not remove content deemed illegal from their platform. The fine amounted to 8% of Google’s revenue in the Russian market. Not stopping there, a Russian TV channel announced that authorities had frozen $ 15 million of Google in April after the company failed to restore access to the YouTube channel. The country’s media regulator also threatened to fine the “search giant” nearly $100,000 after removing “illegal” videos from YouTube.

Google seems to be the only Big Tech considering bankruptcy in Russia after the conflict took place so far. Other businesses like Apple, Meta, Microsoft All branches have been temporarily closed and none of them have had to declare bankruptcy. Earlier this week, McDonald’s announced it would leave Russia and sell its fast-food restaurant chain there after 30 years of operation.

While Russia does not ban Google’s services, Moscow authorities strongly block Meta, the parent company of Facebook and Instagram. As for Google, a representative of the company confirmed that all free services provided by them are still operating normally in Russia.

“People here still rely on our services to access information, and Google will continue to provide free search engines, YouTube, Gmail, map applications, Android platforms and Play app stores such as: before”, the company representative emphasized.