Athira Sethu
Kochi, 31 May 2025
Microsoft’s Russian subsidiary, Microsoft Rus LLC, intends to declare bankruptcy. This was made public in a Russian government database called Fedresurs on Friday, 30th May 2025 reported Reuters.
Microsoft has not made any formal comment on the information at this time, the report said.
This follows Russian President Vladimir Putin stating that foreign technology companies such as Microsoft and Zoom should be restricted in Russia. He desires that the Russian-developed software replace them and become more robust.
Since the war in Ukraine started in February 2022, Microsoft has still been providing some services in Russia. However, in June 2022, the company announced that it would cut back on its business there. The reason for this action was due to the war, Russian economy shifts, and how it affected their business.
At the same time, Microsoft also acted against Russian state media. They pulled their apps, such as RT (Russia Today), off the Windows App Store and ceased advertising from Russian state-supported sources.
And now, Microsoft Rus LLC is going to close down entirely through bankruptcy. What will become of Microsoft’s other Russian ventures is not yet certain. These are Microsoft Development Centre Rus, Microsoft Mobile Rus, and Microsoft Payments Rus.
Other American tech companies have also faced problems in Russia. For example, Google’s Russian office went bankrupt in 2022. Google said the Russian government froze its bank account, which made it impossible to pay staff or continue working, Reuters report said.
Over the past few years, it has been difficult for most international businesses to operate in Russia. There are tighter regulations, economic challenges, as well as pressure from politics. Due to these facts, some businesses have closed their facilities or even exited the nation.