More than three months after Russia invaded Ukraine, Microsoft says it is “substantially” reducing its business in Russia. The software behemoth initially halted “new” product and service sales in Russia in early March, and now Bloomberg News reports that the corporation is cutting off 400 Russian employees as it prepares to wind down its operations in the country.
“We have made the decision to considerably scale down our activities in Russia as a result of the changes in the economic outlook and the impact on our company in Russia,” a Microsoft official told Bloomberg News. “While the suspension of new sales is in force, we will continue to fulfill our current contractual commitments with Russian clients.”
Microsoft says it’s “working closely with impacted workers” in Russia, where the company’s decision to shut down its commercial activities would affect 400 people. It’s unclear how many Microsoft workers work in Russia right now, and we’ve reached out to the firm for comment. Microsoft CFO Amy Hood acknowledged earlier this year that Russia generates less than 1% of the company’s revenue.
Microsoft isn’t the first major global corporation to halt or curtail operations in Russia. Many Western corporations are cutting connections with Russia, shutting locations, or halting sales, including Dell, Apple, Nike, and Adidas.