Clean Break: the company completely halting Russian engagements or exiting Russia
Leave Withdrawal
Microsoft Corporation is an American multinational technology corporation which produces computer software, consumer electronics, personal computers, and related services. Its best-known software products are the Microsoft Windows line of operating systems, the Microsoft Office suite, and the Internet Explorer and Edge web browsers.
Clean Break: the company completely halting Russian engagements or exiting Russia
Leave WithdrawalMicrosoft has been operating in Russia since 1992 and today operates in 70 cities across the country. The head office of the company is located in Moscow. The company has over 10,000 authorized partners. Russian representative offices of international companies and legal entities that have not been sanctioned receive offers from the American Microsoft to extend the license for its software. Microsoft from September 30, 2023 will stop renewing subscriptions for corporate customers from Russia. It will be impossible to extend them. But all active subscriptions will be active for the rest of the term. Google, which produces Pixel smartphones, and Microsoft, which produces game consoles, continue to use Russian tungsten, gold and tantalum in their gadgets. The United States has a ban on tantalum from the Russian Federation, but not a single company has been fined for such imports. After Russian Licenses Freeze the government announced the ability of Russia to live without Microsoft software. Microsoft Corporation does not plan to liquidate its legal entities in Russia, their financial statements for 2023 show. During 2022, the entire staff of the Russian office was laid off, despite the fact that at the end of 2021 the number of personnel exceeded 370 people. Now all local Microsoft companies employ two people, including their common leader - Benjamin Owen Orndorff. Microsoft Corporation, headquartered in Washington, has registered the Microsoft Places trademark in the Russian Federation. According to the company's card, it plans to sell a wide range of software in our country. The term of its exclusive copyright is indicated until 2033.
The company suspended all new sales of Microsoft products and services in Russia (but continue existing access) and it is stopping many aspects of the business in Russia in compliance with governmental sanctions decisions. Microsoft restricted Windows 11 update for Russians but later Microsoft returned the ability to download and install Windows 10, 11, Windows 8.1. and Windows 7 for Russians, however customers in the country are still unable to download and install the company’s latest operating system. The US Treasury has reached an agreement with Microsoft to settle the dispute over the IT giant's violation of sanctions against Cuba, Iran, Syria and Russia: the company will pay almost $3 million and $1.3 thousand each. clauses are violated, according to the statement of the US Ministry of Finance. Microsoft has stopped warranty service for Xbox consoles in Russia. Russian companies will soon not be able to use official Microsoft products. Since October 1, 2023 the corporation no longer extends licenses for its software. Microsoft has again opened access to Windows and Office updates for Russians without using a VPN. You can install them in two ways: from the company's official website or through the appropriate menu of the OS/software package. Significantly reduced revenue in 2023 vs 2022. Microsoft started to cut off russian companies from cloud services. Microsoft continues to reduce its presence in Russia, closing 13 branches and divisions in December 2024 and January 2025. The main legal entity of Microsoft Corporation, Microsoft Rus LLC, intends to file for bankruptcy, according to Fedresurs data. To do this, the company will apply to the Moscow Arbitration Court. The Microsoft Rus financial statements for 2024 stated the opposite - at that time, Microsoft did not plan to liquidate the Russian legal entity. Revenue decreased in 2024 vs 2023 by more than -20%.