Following the recent US ban on Kaspersky products, the company has announced it’s shutting down US operations entirely from July 20.
All US employees will be laid off, with Kaspersky and CNN stating that the shutdown affects less than 50 members of staff.
With tensions high between the US and Russia following the invasion of Ukraine, concerns were raised about the security of Kaspersky software, with fears that Russian officials could force the company to hand over data.
The resulting ban on the sale of Kaspersky software to US consumers, both directly and via US-based resellers, was due to come into force on July 20.
The second part of the ban, coming into force on September 29, meant the company would no longer be allowed to push security or software updates to customers in the US, affecting the level of protection provided by its antivirus software.
The Commerce Department implemented a two-step ban to allow US consumers time to find an alternative to Kaspersky software. It has now placed the company on its trade-restriction list, meaning US companies are prohibited from conducting business with the Moscow-based cybersecurity software firm.
Kaspersky’s Long History of Restrictions
This isn’t the first time the company has faced restrictions. In 2017, the Department of Homeland Security banned the Moscow cybersecurity firm’s software from all federal agencies and departments following a Russian government hacker attack on an intelligence contractor’s home PC running Kaspersky software. In 2018, all US military systems followed suit.
In 2022, the day after the Russian invasion of Ukraine, Reuters reported that the US government had privately warned American companies Moscow could manipulate Kaspersky’s antivirus software.
Kaspersky initially stated that it intended to fight the ban in court, commenting that it “doesn’t engage in activities which threaten US national security.”
It now appears the company has changed its position. In a statement, it said that its US business was “no longer viable.