Google Is Filing For Bankruptcy In Russia

Will Google's services cease to exist for Russian people?

Google is filing for bankruptcy in Russia
image credit: unsplash

Google is facing some trouble in the Russian territory. According to a report from The Verge, Google’s Russian subsidiary will file for bankruptcy. The company made a statement saying it can no longer keep the branch. The Russian Government has seized their local bank account, making it impossible to continue operations.

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

Will Google Services stop working in Russia?

Google is filing for bankruptcy in Russia
Image credit: Unsplash

However, Google was facing trouble running its operations and acknowledged that people in Russia rely on its services. The tech giant said: “We’ll continue to keep free services such as search, YouTube, Gmail, Maps, Android, and Play available.”

Alphabet, which is a parent company of Google, also owns YouTube. They decided to demonetize the Russian state-owned channels. Limiting recommendations to these channels and restricting them from within Ukraine. Shortly after Russia invaded Ukraine, Google also suspended the sale of ads in Russia.

Why is this happening?

The Russian Government is accusing Google of serving false information in their ads. There have been certain repercussions in this regard. The Russian Government said that the ads by them contain false information. These claims were made regarding the invasion of Ukraine and demanded the company suspend all advertising in the country.

However, it isn’t fully clear what the Russian Government provided for seizing Google’s bank account. Reports are still coming in, and websites like Mashable are reaching out to them. The Government even threatened to slap the tech giant with a fine of 8 million roubles($95,000) after removing “illegal” videos from youtube.

According to The Verge, many companies like Apple, Meta, and Microsoft have suspended their operations in the country. However, Google appears to be the first one to file for bankruptcy. With that being said, their services aren’t banned in Russia yet and will continue to work.

What do you think about the ruckus? Share your thoughts in the comments.

More From Fossbytes

Latest On Fossbytes

Find your dream job