War does no good for either side, although in this case it looks like Russia is the loser the most. At least, from the economic point of view which concerns hardware and software companies. This time it’s the turn of microsoftwhich began in March by withdrawing its new products, to now, three months later, set fire to 400 employees in Russia.
Microsoft, the American giant, has announced that it has taken the decision to significantly reduce its operations in Russia. Because of war and the evolution of the economic outlook and the impact of its activity in Russia, more than 400 employees they will see each other affected. Although it may seem like a very large number, we are talking about a company that has almost 200,000 workers In the whole world.
Russia represents less than 1% of Microsoft’s turnover
With this decision, it seems that Microsoft will not suffer losses older, since according to its financial director, Russia barely reaches the 1% of total income. With the situation that has been going on since the start of the war with Ukraine, Russia is no longer a country that companies want to get involved with. It’s not just for the reputation and the criticisms they may receive, but it is also because they display an attitude of “helping the enemy”.
Microsoft was quite quick, since only a week after the start of the war, it decided to withdraw the sale new products and services in Putin’s country. This meant that, since March, Russia would not have access to the WindowsOffice, Azure or the products and services of Xbox. However, no further details were given, although as we can assume a reduction in these services could be a devastating blow.
Thus, little by little, more and more companies have untied their activities and their services in Russia, since the declaration of war on February 24. Among them, we find Apple, Google, IBM or Dell and outside the IT world, Nike and Adidas.
Microsoft is not the only one to act, Apple and Google too
As you can see, the whole industry is attacking Russia, starting with Manzana, where on March 1, it decided to stop selling its physical products. Not only that, but Russian apps have been removed from the App Store and limitations have been imposed on Apple Pay. go around Googlehe decided Fire all sales of The advertisement in Russia, a blow for the company and its citizens.
By this decision, the Income through advertisements both on the web and on platforms such as Youtube. Additionally, Google was critical by Russian watchdog Roskomnadzor, claiming there were announcements about the war in Ukraine. According to the organization, these showed a “distorted perception events” and offered false political information.
Looks like, Russia every time lack more and earn less, where their attitude in favor of continuing the war only increases their losses and those of their citizens. The country is less and less supported by businesses and services, where even its own people are reluctant to continue the battle.
Let’s see in the future how this is resolved and above all, if they manage to regain confidence in the companies.