WebProNews

Tag: Russia

  • SAP’s Russian Exit Delayed After Failing to Find a Buyer

    SAP’s Russian Exit Delayed After Failing to Find a Buyer

    SAP’s efforts to exit the Russian market by the end of the year have been delayed after the company failed to find a buyer.

    Like many tech companies, SAP made the decision to pull out of Russia in response to its invasion of Ukraine. The company originally set a deadline of year’s end for the pullout but has failed to find a buyer for its Russian business, according to Reuters.

    The issue is complicated by Russian legislation that could hold local employees liable for any contract violations, putting the company in a difficult position. On the one hand, it wants to withdraw from the market, but on the other hand, it doesn’t want to leave its current employees with legal issues if the pullout is mishandled and contracts go unfulfilled.

    Nonetheless, SAP reiterated its intention to leave the Russian market as soon as possible.

    “SAP is fully committed to winding down our business in Russia as quickly as possible,” an SAP spokesperson told Reuters. “Recent legal developments in Russia have, however, limited our options with regard to the final steps of our exit.”

  • Russia Is Turning Off the Gas to Europe

    Russia Is Turning Off the Gas to Europe

    After months of sanctions, Russia says it is cutting off the gas to Europe in a move that could have serious repercussions.

    Europe relies heavily on Russia for its energy needs. In spite of that, the bloc has the international community in levying sanctions on Russia over its invasion of Ukraine. Russia is now blaming those sanctions for cutting off gas to Europe, saying they have led to maintenance issues of the Nord Stream 1 pipeline, according to Forbes.

    Despite the pipeline closure, Kremlin spokesperson Dmitry Peskov said gas exports would resume if the sanctions were lifted, saying the sanction have “brought the situation to what we see now.”

    According to Forbes, Europe’s gas reserves currently sit at 81.55%. The bloc set a goal of having its reserves at 80% by November 1, putting it ever slow slightly ahead of its target. With Russia cutting off supplies, however, it’s unclear if Europe will need to tap into those reserves immediately, lowering them below the target threshold going into winter.

  • Dell Shuts Down Russia Operations

    Dell Shuts Down Russia Operations

    Dell is the latest company to shut down its operations in Russia in response to that country’s invasion of Ukraine.

    Russia has faced international sanctions by countries and corporations alike in response to the invasion. According to Reuters, Dell is the latest company to join the ever-growing list of companies taking action.

    Dell had previously suspended sales in Russian and Ukraine in February before closing its offices in mid-August.

    “In mid-August, we closed our offices and ceased all Russian operations,” Dell spokesperson Mike Siemienas told Reuters.

    “Back in February, we made the decision to not sell, service or support products in Russia, Belarus and the Donetsk and Luhansk regions of Ukraine, in addition to the already embargoed Crimea.”

  • Russian Invasion of Ukraine Threatens Fragile Semiconductor Supply

    Russian Invasion of Ukraine Threatens Fragile Semiconductor Supply

    In the wake of Russia’s invasion of Ukraine, experts are concerned the conflict could significantly impact the semiconductor supply chain.

    Semiconductor manufacturers have been struggling to keep up with demand since the outset of the pandemic. Early lockdowns and quarantines impacted supply, while people working from home and avoiding public activities drove up demand.

    According to VentureBeat, research firm Techcet attributes Ukraine with supplying 90% of the neon gas used in the lasers the US semiconductor industry relies on to manufacture chips. Further complicating the issue, Russia supplies 35% of the palladium for US chipmakers.

    CNBC is reporting that Ukrainian President Volodymyr Zelenskyy says Russian troops have been stopped “in most directions,” as of early Friday morning. It’s unclear if the situation will stabilize, or if it will continue to deteriorate.

    One thing is certain: The longer the conflict goes on, the more likely the semiconductor supply chain will fall further behind.

  • Microsoft May have Cut Russia Off From Windows Downloads

    Microsoft May have Cut Russia Off From Windows Downloads

    Amid ongoing sanctions on Russia, it appears Microsoft may have cut users off from Windows 10 and Windows 11 downloads.

    Countries and companies around the world have imposed sanctions on Russia in response to its invasion of Ukraine. Companies from Big Tech to food chains have pulled out of the country in an effort to make the invasion as costly as possible. According to PCMag, Microsoft is taking a step further, prohibiting users inside Russia from downloading Windows 10 and Windows 11.

    According to the outlet, multiple users took to Twitter to say they were getting “404 – File or Directory not found” errors when trying to download the Windows Disk Image ISO.

    Even the Russian state news agency TASS experienced the same issues but was able to download the ISO by using a VPN service to mask their location. To further test it, PCMag used a VPN server in Russia and received the same error.

    Russia is already struggling to deal with other tech-related sanctions. The has talked of banning cloud providers from operating in-country, and the country is on the verge of running out of digital storage.

  • Russian Financial Sanctions: How it Affects Global Markets and Average Citizens

    Russian Financial Sanctions: How it Affects Global Markets and Average Citizens

    Russia’s invasion of Ukraine marked the beginning of some of the biggest economic sanctions seen in recent times. Countries like the U.S, France, the U.K, and Canada have removed the ability for Russian banks to procure payments across nation lines. The US in particular has begun particularly drastic measures, stopping the export of important technology to Russia while also refusing all imports of Russian oil and gas. Let’s learn more about Russian financial sanctions below.

    Companies in the U.S such as Mastercard, Visa, and Apple have also stopped any payments coming in and out of Russia. Other companies outright removing their services in Russia. Meanwhile countries such as England are looking to follow in the US’s footsteps as the year passes, pledging to stop any oil imports before the year ends. 

    The Russian Economic Impact

    All of this together is projected to contract Russia’s economy by up to 15% in 2022. This is a sizable dip to any economy and when it comes to showing Russia that the war on Ukraine is disapproved of, this is the strongest non-combat based option. This is not the most extreme sanctioning available, trade in some markets still existing with Russia, but a dent is being made. There are notable side-effects to this strategy though, same as any, and these affect both the common people of and those sanctioning Russia.

    Sanctions tend to affect the most vulnerable and common people of a country more than its government at large, an unfortunate necessity when it comes to implementing sanctions aggressively enough to spur change. This means interest rates have risen 10.5% in Russia, and the value of currency, the ruble, has been fluctuating by up to 30%. Citizens of Russia have rushed to buy precious metals such as gold and palladium due to these market changes. The value of these metals increasing four times over. The Russian government has moved to stabilize its economy but with clear potential consequence to its citizens.

    Outside of Russia there are also massive economic effects that come with isolating a nation as powerful as it. Most notably Russia is the second largest producer of crude oil globally. The sanctions on oil have led to the highest recorded gas prices in the US at $4.42 per gallon on May 12, 2022. Beyond this the stock market in the U.S has also reached some of the lowest lows since 1970 and cryptocurrency has been in a notably volatile state. The market seems to be veering towards low investment and high volatility, a negative economic state for any nation.

    In Conclusion

    These are some of the serious consequences to sanctioning Russia in a meaningful capacity. Although these consequences are necessary evils to an effective sanction. If the U.S and other western countries want to stop or slow the invasion on Ukraine, sanctioning is a necessary step. Still, it’s important to recognize the effects on day to day citizens and markets. There’s give and take to any international policy, and things like the rising gas prices are one of the things that have to be given.

    Learn more about Russian financial sanctions below:

    financial war
    Source: USGoldBureau.com
  • Google’s Russian Subsidiary Files For Bankruptcy

    Google’s Russian Subsidiary Files For Bankruptcy

    Google’s Russian subsidiary is filing for bankruptcy in the wake of the company halting some business in the country and authorities seizing its assets.

    Like many companies, Google suspended some operations within Russia in response to its invasion of Ukraine. In particular, the company halted its ad business in the country. In response, Russian authorities have seized Google’s bank accounts, making it impossible to continue doing business, according to CNET.

    “The Russian authorities’ seizure of Google Russia’s bank account has made it untenable for our Russia office to function, including employing and paying Russia-based employees, paying suppliers and vendors, and meeting other financial obligations,” a Google spokesperson said in a statement.

    Google plans on keeping its free services available in-country, including YouTube, Gmail, and Maps.

  • Russia Losing Top Talent As Tech Workers Flee The Country

    Russia is losing its top tech talent as workers flee the country in response to its invasion of Ukraine.

    In the modern economy, knowledge workers are one of the most valuable commodities. Unfortunately for Russia, the country’s tech workers are leaving over its invasion of Ukraine, according to The New York Times, adding to its woes.

    The international community has been mostly united in its condemnation of Russia’s actions. Governments around the world have imposed strict sanctions, while companies have ceased operations and pulled out of Russia. The situation has become so dire it’s believed the country may be running out of digital storage.

    As if external issues weren’t enough, it’s now estimated some 50,000 to 70,000 tech workers have left the country, with an additional 70,000 to 100,000 soon to follow.

    “Most Russian tech workers are part of the global market. Either they work for global companies or they are tech entrepreneurs trying to build new companies for the global market,” said Konstantin Siniushin, a venture capitalist in Riga, Latvia. “So they are leaving the country.”

    Many experts believe it will take Russia years to recover from the sanction it is experiencing. That estimate is likely to increase the more highly skilled workers it loses.

  • Biden Warns of Russian Cyberattacks

    Biden Warns of Russian Cyberattacks

    President Joe Biden is warning American businesses of increased risk of cyberattacks as Russia looks to retaliate against sanctions.

    Russia has born the brunt of some of the most intense sanctions in international history, a response to its invasion of Ukraine. The country has seen company after company pull out and abandon its Russian business, and is even struggling to find enough storage space to keeps its IT operations running.

    In response to the international sanctions, experts believe Russia may increase cyberattacks on foreign targets, especially in the US. President Biden issued a statement warning American businesses of the possibility.

    This is a critical moment to accelerate our work to improve domestic cybersecurity and bolster our national resilience. I have previously warned about the potential that Russia could conduct malicious cyber activity against the United States, including as a response to the unprecedented economic costs we’ve imposed on Russia alongside our allies and partners. It’s part of Russia’s playbook. Today, my Administration is reiterating those warnings based on evolving intelligence that the Russian Government is exploring options for potential cyberattacks.

    After touting the efforts his administration has taken to harden US cyber defenses, President Biden called on the private sector to do the same.

    If you have not already done so, I urge our private sector partners to harden your cyber defenses immediately by implementing the best practices we have developed together over the last year. You have the power, the capacity, and the responsibility to strengthen the cybersecurity and resilience of the critical services and technologies on which Americans rely. We need everyone to do their part to meet one of the defining threats of our time — your vigilance and urgency today can prevent or mitigate attacks tomorrow.

  • Russia Has Two Months of Domestic Digital Storage Left

    Russia Has Two Months of Domestic Digital Storage Left

    In an unexpected consequence of the sanctions it has faced, Russia only has two months of digital storage left domestically.

    Companies have been pulling out of Russia at a record pace, led by some of the biggest names in the tech industry. According to BleepingComputer, that has put Russia in a precarious position, with only two months of digital storage left. With Microsoft, AWS, and Google Cloud all boycotting the country, Russia simply doesn’t have the resources to handle its domestic needs.

    A number of possibilities are on the table, including Moscow leasing all remaining domestic storage, or taking over the leftover equipment from providers that have left the country.

    As BleepingComputer points out, Huawei may be another option. The company initially suspended operations in Russia till March 26, 2022. However, given that Huawei is already sanctioned by the US and can’t be hurt anymore than it already has, it may see little to lose and much to gain by becoming Russia’s primary tech supply chain.

  • Goldman Sachs Is Pulling Out of Russia

    Goldman Sachs Is Pulling Out of Russia

    Goldman Sachs has become the first major Wall Street bank to announce it is pulling out of Russia.

    Companies in a variety of industries have been pulling out of Russia, or suspending operations within the country, in response to its invasion of Ukraine. As the invasion continues, more and more companies are taking a stand, and Goldman Sachs is the first major Wall Street bank to do so.

    According to Bloomberg, Goldman Sachs doesn’t do a tremendous amount of business in the country, although it has maintained a presence for several years.

    “Goldman Sachs is winding down its business in Russia in compliance with regulatory and licensing requirements,” the company said in an emailed statement. “We are focused on supporting our clients across the globe in managing or closing out pre-existing obligations in the market and ensuring the well-being of our people.”

  • US Ramping Up Pressure on Chinese Companies Over Russia Sanctions

    US Ramping Up Pressure on Chinese Companies Over Russia Sanctions

    The US is already ramping up pressure on Chinese companies to cooperate with sanctions against Russia, despite China being critical of such sanctions.

    The international community is implementing sanctions in an effort to bring a peaceful resolution to Russia’s invasion of Ukraine, in lieu of boots on the ground. One possible impediment to that strategy is China, which provides up to a third of Russia’s semiconductors, and roughly half of its computers and smartphones, potentially giving Russia an important lifeline in its attempts to combat sanctions.

    According to Bloomberg, however, the US will likely use export control rules in an effort to force Chinese companies to help with the sanctions, companies like Lenovo. The plan is similar to how the US cut Huawei off from chips made by TSMC, using export rules to prohibit Huawei from benefiting from any technology derived from US intellectual property. As Bloomberg points out, any company that ignores those export rules does so at its own peril, risking being cut off from US-based tech itself, or having its executives prosecuted.

    China has made no secret of its disagreement with the international community over sanctions against Russia. With Huawei as a recent example of how poorly things can go for a company that relies on US-based tech, it’s likely many Chinese companies will get on board with restricting tech exports to Russia.

  • Twitter Adding Warning Labels to Russian Propaganda Posts

    Twitter Adding Warning Labels to Russian Propaganda Posts

    Twitter is working to combat Russian propaganda, adding warning labels to tweets linked to such propaganda in the midst of Russia’s invasion of Ukraine.

    Tech companies are increasingly being drug into the conflict between Russia and Ukraine, with many implementing their own sanctions against Russia in the face of its attack. In the meantime, social media has become an all-too-common battleground between facts and misinformation.

    Twitter is working to address that, with warning labels attached to propaganda Russia may be working to propagate. The news was announced by Yoel Roth, Head of Site Integrity at @Twitter.

    Today, we’re adding labels to Tweets that share links to Russian state-affiliated media websites and are taking steps to significantly reduce the circulation of this content on Twitter.

    We’ll roll out these labels to other state-affiliated media outlets in the coming weeks.

    Twitter’s action is just one of many Russia is facing as it embarks on the biggest invasion in Europe since World War II.

  • Some Google Maps Features Disabled in Ukraine Over Security Concerns

    Some Google Maps Features Disabled in Ukraine Over Security Concerns

    Google has taken the unusual step of disabling some features in Google Maps for Ukraine, likely out of concern Russian forces could use it in their invasion.

    Google Maps can provide live information regarding traffic and other conditions, but there has been some concern Russian invasion forces could use the feature to track Ukrainian troop movements or fleeing civilians. For example, according to Reuters, a professor at California’s Middlebury Institute of International Studies was able to track Russian troop buildup on the Ukrainian border before the invasion, a buildup that looked like a traffic jam.

    Google’s move comes as tech companies are implementing their own sanctions against Russia in a show of support and solidarity for Ukraine, and in an effort to make the Russian invasion as costly as possible for Vladimir Putin and his allies.

  • Russia Poised to Fine Apple and Google Over Opposition App

    Russia Poised to Fine Apple and Google Over Opposition App

    Russia is prepared to fine Apple and Google if they do not remove opposition leader Alexei Navalny’s “Smart Voting” app.

    The brainchild of Navalny, Smart Voting is a service aimed at boosting political candidates believed to have the best chance again Kremlin-based candidates. According to The Associate Press, the Russian government has warned Apple and Google that failure to remove the app will be viewed as election interference.

    Russian news agency Tass reports that Russia’s media watchdog may move forward with fines for both companies, depending on how they respond.

    “This decision will be taken later. So far, we have not taken it and we are watching for the reaction of both companies. Their reaction will be the grounds for decision making, in particular for imposing fines. If they refuse, fines will be applied,” said Vadim Subbotin, deputy head of the watchdog .

  • Facebook and Twitter Fined in Russia Over Not Deleting Content

    Facebook and Twitter Fined in Russia Over Not Deleting Content

    Russia’s crackdown of tech companies continues, as a Russian court has fined Facebook and Twitter for not deleting content the government deems illegal.

    Russia has become increasingly critical of tech companies, and has taken measures to exert control over them and the internet in general. The government banned cryptocurrencies; forced social media companies to have local offices in-country; and wanted phone, computer and smart TV makers to install specific Russian softwarefrom the factory.

    The country has now fined Facebook and Twitter $287,850 collectively, according to Reuters, over the two companies’ failure to delete banned content. Russia also fined Telegram, although the amount was not disclosed.

  • Russia Passes Law Forcing Social Media Companies to Have Local Office

    Russia Passes Law Forcing Social Media Companies to Have Local Office

    Vladimir Putin has signed a law that forces social media companies to have an office in the country.

    Russia has a long history of trying to control information and stamp out dissent. For such a regime, few things are more dangerous than social media, where information can go viral, making it difficult for a government to easily control. As a result, social media platforms have been in the government’s crosshairs for some time.

    The latest law is another attempt to exert control, and will require social media giants to have an office in-country, according to Reuters.

    “A foreign entity, carrying out activities on the internet in Russia, is obliged to create a branch, open an office or establish a Russian legal entity,” the new law reads.

    Not all social media companies will be impacted. The law specifically targets platforms with at least 500,000 daily users in Russia. Even so, roughly 20 companies will likely fall under the new legislation.

  • Elon Musk Open to Setting Up a Tesla Factory in Russia

    Elon Musk Open to Setting Up a Tesla Factory in Russia

    Elon Musk has signaled his willingness to open a factory in Russia, according to a new report.

    Russia is not currently one of Tesla’s main markets. In fact, according to TheStreet, only 700 new Teslas were purchased in the entire country last year, along with less than 5,300 used vehicles.

    Nonetheless, it appears Musk has his eye on eventually changing that, even having a factory in Russia.

    “I think we’re close to establishing a Tesla presence in Russia, and I think that would be great,” Musk said according to a Bloomberg report, via TheStreet. “Over time, we will look to have factories in other parts of the world, potentially Russia at some point.”

    Musk also commented on the talent and energy that exists in Russia, and his hope it will lead to positive changes.

    “Hopefully that energy continues into the future, and I would just like to strongly encourage people to strive to make the future better than the past and to be optimistic about the future.”

  • Russia Banning Cryptocurrencies

    Russia Banning Cryptocurrencies

    Cryptocurrencies may be gaining traction around the world, but they aren’t welcome in another major country, as Russia takes steps to ban them.

    According to Forbes, reporting on an interview with the Russian news agency Interfax, a Russian official said an upcoming digital assets bill will ban buying and selling cryptocurrency.

    “We believe there are big risks of legalizing the operations with the cryptocurrencies, from the standpoint of financial stability, money laundering prevention and consumer protection,” said Russia’s central bank head of legal, Alexey Guznov.

    “We are opposed to the fact that there are institutions that organize the release of cryptocurrency and facilitate its circulation,” Guznov continued, saying the bill “directly formulates a ban on the issue, as well as on the organization of circulation of cryptocurrency, and introduces liability for violation of this ban.”

    Russian officials recognize they will not be able to completely stop cryptocurrency transactions, with Guznov saying authorities will not pursue individuals who made their deals in a country where it was legal.

    Either way, however, Russia’s announcement is a big blow to cryptocurrencies around the world.

  • U.S. Space Force Deploying Space Fence

    U.S. Space Force Deploying Space Fence

    The newest branch of the U.S. military is wasting no time making its presence known as it prepares to deploy its Space Fence, according to Popular Mechanics.

    Space Fence is a radar system designed to track objects in orbit as small as four inches in diameter. It is a significant upgrade over the previous system, which could only track objects in low-Earth orbit, or 99 to 1,200 miles. Space Fence, on the other hand, can track objects in medium-Earth orbit (up to 22,000 miles) and geosynchronous orbit (beyond 22,000 miles). While the old system could track up to 2,000 objects, Spence Fence should be able “to detect five to ten times more.”

    As space flights become more common, debris poses a serious risk to spacecraft. Everyone remembers the catastrophes that happen in Sandra Bullock’s Gravity, and Space Fence should help spacecraft avoid those circumstances.

    The new radar system will also be able to track Russian and Chinese satellites, “predicting when their satellites will be over the United States and U.S. forces abroad.” Space Fence is based on the remote Kwajalein Atoll in the South Pacific and could be online as early as this month.

  • Facebook Reveals New Census Interference Policy Ahead of 2020 Census

    Facebook Reveals New Census Interference Policy Ahead of 2020 Census

    Facebook received its share of criticism over the 2016 election thanks to Russian operatives using the social media platform to sow disinformation and disagreement. As a result, ahead of the 2020 census—the first people can complete online—Facebook is taking measures to protect against interference.

    In a blog post on the company’s site, Facebook outlines “a new census interference policy that bans misleading information about when and how to participate in the census and the consequences of participating. We are also introducing a new advertising policy that prohibits ads that portray census participation as useless or meaningless or advise people not to participate in the census.”

    The company worked with the U.S. Census Bureau, as well as the civil rights community “to develop thoughtful rules around prohibiting census interference on our platforms and making sure people can use their voice to be counted.”

    The post outlines some of the specifics involved in its new policy.


    “Our census interference policy will prohibit:

    • Misrepresentation of the dates, locations, times and methods for census participation;
    • Misrepresentation of who can participate in the census and what information and/or materials must be provided in order to participate;
    • Content stating that census participation may or will result in law enforcement consequences;
    • Misrepresentation of government involvement in the census, including that an individual’s census information will be shared with another government agency; and
    • Calls for coordinated interference that would affect an individual’s ability to participate in the census, enforcement of which often requires additional information and context.

    “We will begin enforcement next month and use a combination of technology and people to proactively identify content that may violate this policy. All content surfaced will be assessed by a team of reviewers who will benefit from the training and guidance of a consultant with census expertise. And as with voter interference, content that violates our census interference policy will not be allowed to remain on our platforms as newsworthy even if posted by a politician.”

    Information that may be inaccurate, but not necessarily violate the new policy, may still be fact-checked. If it is found to be false, it will have prominent labels and rank lower in news feeds. The company promises to share “accurate, non-partisan information about how to participate in the census in consultation with the US Census Bureau.”