Kaspersky Labs Exits US Market Following Ban by Biden Administration

Kaspersky Labs Exits US Market Following Ban by Biden Administration

Paige Henley


Paige Henley

Published on: July 21, 2024
Editor

Russian cybersecurity giant Kaspersky Labs has announced its withdrawal from the US market, following a ban on the sale and distribution of its software by the Biden administration. This decision marks the end of Kaspersky’s two-decade presence in the United States, where the company has been a significant player in the antivirus and cybersecurity sector.

The move comes after US Commerce Secretary Gina Raimondo cited the potential risk posed by Kaspersky’s ties to the Russian government, which could allegedly compromise US infrastructure and services. “Kaspersky will generally no longer be able to, among other activities, sell its software within the United States or provide updates to software already in use,” the Commerce Department stated.

Starting July 20, Kaspersky will begin winding down its operations in the US, gradually eliminating US-based positions. Its US website has already stopped offering antivirus and cybersecurity tools, displaying a message that sales are unavailable to US customers.

In a statement, Kaspersky expressed disappointment with the decision, calling it “sad and difficult.” The company maintains that the US government’s actions are based on geopolitical concerns rather than a thorough evaluation of its products’ security. “Kaspersky does not engage in activities which threaten US national security and, in fact, has made significant contributions with its reporting and protection from a variety of threat actors that targeted US interests and allies,” the company stated.

Kaspersky highlighted its ongoing commitment to cybersecurity, noting an 11% growth in sales bookings in 2023 and emphasizing its transparency measures, which it claims are unmatched in the industry. The company intends to explore all legal avenues to counteract the ban and safeguard its reputation and commercial interests.

This latest action is part of a broader US strategy to restrict transactions with technology firms from nations considered adversarial, using powers granted during the Trump administration. The ban also aligns with earlier measures, such as the Federal Communications Commission’s decision to list Kaspersky as a threat to national security following Russia’s invasion of Ukraine.

Kaspersky’s departure from the US market is expected to significantly impact its American customers, who will need to find alternative cybersecurity solutions. The Commerce Department has warned that sellers and resellers violating the restrictions will face fines.

Despite the challenging circumstances, Kaspersky remains resilient and committed to protecting its global customer base from cyber threats, continuing its mission to build a safer digital future.

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