Russian cybersecurity giant Kaspersky Labs has announced its withdrawal from the United States, citing the Biden administration’s recent ban on the sale and distribution of its products.
The company, which has been a prominent player in the US market for two decades, has made the difficult decision to wind down its operations due to the diminishing business prospects in the country.
“Starting from July 20, 2024 Kaspersky will gradually wind down its US operations and eliminate US-based positions,” the firm said in a statement.
The decision comes on the heels of concerns raised by US Commerce Secretary Gina Raimondo about the potential risks posed by Moscow’s influence over Kaspersky to American infrastructure and services.
Despite the company’s denial of any wrongdoing, the US government has taken decisive action to restrict its activities within the country.
“The company has carefully examined and evaluated the impact of the US legal requirements and made this sad and difficult decision as business opportunities in the country are no longer viable,” Kaspersky said in a statement, expressing its disappointment with the situation.
The ban, which utilizes powers granted by the Trump administration, targets transactions involving technology firms from nations deemed as “foreign adversaries” such as Russia and China.
This includes restrictions on software update downloads, product resales, and licensing, with penalties imposed on sellers and resellers found in violation.
As a result of the ban, Kaspersky has ceased offering its antivirus and cybersecurity tools on its US website, with a message indicating that “purchase is unavailable for US customers.”
The company plans to gradually wind down its operations in the US and eliminate positions based in the country starting from July 20, 2024.
Despite the setback, Kaspersky remains committed to exploring all legal options to challenge the restrictions and continues to deny any actions that could jeopardize US security.
The company’s global presence, which includes offices in 31 countries and a client base of over 400 million users and 270,000 corporate clients in more than 200 countries, suggests that its withdrawal from the US market may not significantly impact its overall operations.
