According to Reuters, Google's Russian branch will file for bankruptcy, and the company said it could no longer keep the branch** It is reported that the revenue of the Russian branch in Russia in 2021 was 134.3 billion rubles (about US $2086 million), employing more than 100 workers.
In a statement to the verge, a Google spokesman said: "the Russian authorities have seized Google's bank account in Russia, making our Russian office inoperable, including hiring and paying Russian employees, paying suppliers and suppliers, and performing other financial obligations. Google's Russian branch has issued a notice of its intention to file for bankruptcy."
In March, shortly after Russia invaded Ukraine, Google suspended advertising sales in Russia. Google's YouTube also took action to ban advertising on channels owned by Russian state supported media, which were later completely blocked.
Last December, Russia imposed a fine of 7.2 billion rubles on Google for failing to delete content that Russia considered illegal from its platform.
In addition, Reuters reported that a Russian television channel claimed that the authorities confiscated 1 billion rubles (about $15 million) from Google in April after Google did not resume access to the channel's YouTube account. Russian communications regulators also threatened to impose a modest fine of 8 million rubles ($95000) after Google deleted "illegal" videos from YouTube. It is unclear how much money Russia confiscated from Google in total.
Reuters looked at a note posted in Russia's official financial registry detailing Google's intention to file for bankruptcy.
"From March 22, 2022, it foresees that it will be bankrupt and unable to meet its monetary obligations, requiring the payment of severance pay and / or remuneration of staff working or previously working under the employment contract, and / or mandatory payment obligations within a specified period of time."
So far, Google seems to be the first large technology company to file for bankruptcy in Russia due to the Ukrainian war. Other companies, such as Apple , meta and Microsoft have suspended operations in the country, but have not yet let their Russian branch declare bankruptcy. Buyk, a Russian supported food distribution startup, filed for bankruptcy in March due to economic sanctions against the country. On Monday, McDonald's announced that it would leave Russia and sell its fast-food restaurants after operating in the country for more than 30 years.
Although Russia has not gone to the point of banning Google from providing services in the country, it does ban Facebook and instagram. Google said its free services would remain available in the country.
A Google spokesman added: "the Russian people rely on our services to obtain high-quality information. We will continue to maintain free services, such as search, youtube, Gmail, maps, Android and play."