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Google’s subsidiary in Russia filed for bankruptcy and left the country

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Google’s subsidiary in Russia filed for bankruptcy and left the country

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Google will continue to provide services in Russia, such as its search engine, YouTube, Gmail, Android app and more. Photo by AFP

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The Russian subsidiary of Google has announced in the last few hours that it is declare bankruptcy, but will continue to provide its services to the country, due to the seizure of its bank account ordered by the authorities. The company has been under pressure in Russia for months and the situation has worsened after the invasion of Ukraine.

According to a message published in the official Russian federal register Fedresurs, the document indicates that Google’s Russian office has filed a notification about “intent to declare insolvency.

“Since last March 22, 2022, the company is seeing its own bankruptcy and inability to meet your financial obligations“, says the document.

The spokesperson clarified that Google will continue to provide free services in the country, such as its search engine, YouTube, Gmail, map service, Android application and the Play repository.

Google says goodbye to Russia.  Photo by AP

Google says goodbye to Russia. Photo by AP

“Google Russia has published a notice of its intention to file for bankruptcy,” said a company spokesman. The seizure of the bank account ordered by the Russian authorities was made unsustainable operation of our office in Russia “.

At the end of April, a Russian court fined Google 11 million rubles, a little more than 130 thousand dollars at the time, for ignoring orders from state regulators to remove controversial videos about the attack from YouTube.

The Russian subsidiary of the search engine explains that it can not cope payment of severance pay and the salary of staff under their employment contracts.

It is not known whether the reason for the insolvency was the millionaire fines imposed by Russian authorities on Google for its refusal to remove content deemed illegal in Russia or the administrative lawsuits opened against the technology giant’s subsidiary on request. of the Russian media.

The technology giant also blocked the official channel of the Duma, Russia’s lower house of parliament, and various media supporting the Kremlin.

The company reported in early May that it had been blocked eight million ads associated with Russia’s military campaign in Ukraine to “avoid profit or exploitation in the situation,” according to his vice president of product management, ads, privacy and security, Scott Spencer.

In a post on the company’s blog, he detailed that all ads in Russia have been paused and advertising from Russian companies is also prevented from being seen abroad. On the other hand, Russian state -funded media was also banned receive money through their platforms.

In addition to eight million blocked ads, the company removed advertising from more than 60 official Russian media outlets. According to the agency Interfax, in 2021 the losses of Google Russia will reach 26 billion rubles, the equivalent to approximately $ 409 million.

Tech companies leaving Russia

Netflix is ​​another of the companies leaving Russia.  Photo by Reuters

Netflix is ​​another of the companies leaving Russia. Photo by Reuters

Ang exodus of technology companies that decided to leave the country not stopping. California company Intel, the world’s largest chipmaker, has cut off its supplies to the Eurasian country.

Similarly, Russia’s new technology industry will suffer due to the lack of components from other Western corporations such as AMD, TSMC and Global Foundries.

On those platforms, Netflix will violate the country’s new audiovisual law and will not include any Russian channel in its offer for that market, in addition to temporarily paralyzing access.

As if that wasn’t enough, the Russian team won’t appear in FIFA: Electronic Arts has decided to remove it from the popular soccer video game, along with all the clubs in the local league.

Citizens of the country will not be able to enjoy the video games of the American giant, the Japanese Sony and Nintendo or the Polish CD Projekt. None of the concerts were organized by Live Nation, the world’s largest promoter.

With information from agencies.

SL

Source: Clarin

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