Google remains one of the few American tech outfits that still have some level of operations in Russia.
Google Russia, the subsidiary of American multinational technology conglomerate holding company, Alphabet Inc (NASDAQ: GOOGL) has filed for bankruptcy amid the menacing embargo being placed on its operational capabilities by the Russian government.
As reported by Reuters, the bankruptcy filing became necessitated following the ban placed on the subsidiary’s bank account. As a result, the firm was unable to pay its staff, and vendors and come through on key operational obligations.
“The Russian authorities’ seizure of Google Russia’s bank account has made it untenable for our Russia office to function … Therefore, Google Russia has filed for bankruptcy,” a company spokesperson said.
Despite its origins in the United States, Alphabet Inc has become a global brand that serves internet users around the world. From the Google search engine and browser to YouTube, the company offers a number of free services that are being utilized by both businesses and individuals around the world.
Despite the bankruptcy and the restrictions it is facing in Russia, the company has promised that Russian users will still be able to access some of its free services.
“People in Russia rely on our services… and we’ll continue to keep free services such as Search, YouTube, Gmail, Maps, Android and Play available,” it said.
Google remains one of the few American tech outfits that still have some level of operations in Russia. Amidst the growing sanctions, the country’s regulators and lawmakers have banned Facebook and Instagram, both from Meta Platforms Inc (NASDAQ: META). Russia has also restricted access to social media giant Twitter Inc (NYSE: TWTR).
The Kremlin is very critical of YouTube’s censoring of Russian media, however, Anton Gorelkin, deputy head of the State Duma Committee on information policy has confirmed that the outfit does not yet stand the risk of being blocked like the others.
As Google Files for Bankruptcy, the Economic Tension Widens
There is a widening economic tension between Russia and the West, a move that is further affirmed as Google files its bankruptcy claims.
The war in Ukraine, which was instigated by Russia which said it was conducting a Special Military Operation in the country has grown as a complicated move for all of the parties involved. The United States, as well as the European Union, have been issuing quite a boatload of sanctions on Russia, and the country has retaliated in a few ways it can.
While there seems to be no settlement in sight with respect to the ongoing war and its economic impacts, the bankruptcy filing by Google is arguably one of the best ways to survive this trying time for the tech giant.
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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.
Source: https://www.coinspeaker.com/google-russia-bankruptcy-embargo/