- Microsoft RUS is about to fil for bankruptcy, local reports claim
- The company reduced its activities in response to the invasion of Ukraine
- Countless foreign companies did the same already
An important Microsoft subsidiary in Russia is filing for bankruptcy.
ONE Pakinomist Report with reference to “A note published on the official FedResur’s registration database” claim “Microsoft Rus LLC intended to declare bankruptcy”.
The company has four subsidiaries in the country according to Tass: Microsoft RUS LLC (primarily subsidiary responsible for marketing, localization and partner relations), Microsoft Development Center RUS (software development and technology), Microsoft Mobile RUS (mobile technologies and services) and Microsoft Payment RUS (financial transactions and payment services).
One down, three remaining
Fedresurs, or “Unified Federal Register of legally significant information on the activities of legal entities, individual entrepreneurs and other financial entities,” is Russia’s official online register that acts as a centralized platform to reveal legally important information on business and entrepreneurial activities in the country.
Pakinomist puts the news in the context of Russia’s ongoing invasion of Ukraine.
The company apparently continued to provide key services in the country, even after 2022 and major sanctions imposed on the country by Western nations, but in June 2022 it said it would be “marked downscaling” due to the changes in the economic prospects and the influence it will have.
When it comes to the sanctions, Microsoft participated in a sense and removed Russia today (RT )’s mobile apps from the Windows App Store. It also allegedly banned advertising on Russian state -sponsored media in the days following the invasion.
Microsoft is not the only company filing bankruptcy in Russia in the wake of the war.
Last year, Pepeliaev Group reported “mass competitions” by foreign companies that flooded Russian courts. Google’s local subsidiary also filed for bankruptcy in 2022 and claimed that the seizure of its bank account made it impossible to operate.
