Kaspersky Lab has begun laying off US workers and will shutter its US business in the wake of a ban on sales of its cybersecurity products.
The US Department of Commerce issued a ban on the sale of Kaspersky’s products in June. There had been growing concern over the company’s close ties to the Kremlin. Some reports have accused the company of actively working with the Russian FSB. Others claim the FSB has hacked the company’s products for its own purposes.
At the time of the ban, lawmakers said the company posed an unacceptable risk.
“The case against Kaspersky Lab is overwhelming,” said Senator Jeanne Shaheen. “The strong ties between Kaspersky Lab and the Kremlin are alarming and well-documented.”
According to Zero Day, Kaspersky has confirmed that it is shutting down its US business as a result of the ban, and has already informed employees they are being laid off.
“The company has carefully examined and evaluated the impact of the U.S. legal requirements and made this sad and difficult decision as business opportunities in the country are no longer viable,” the company said in a statement. Kaspersky said the decision “affects less than 50 employees in the U.S.”
Employees confirmed to the outlet that they were receiving severance pay, although they did not specify how much they were receiving.
The Kaspersky outcome illustrates the growing nationalization of software, especially in the cybersecurity industry. As geopolitical tensions mount, software companies are increasingly finding themselves caught in the middle, with lawmakers on either side retaliating.
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