Russian cybersecurity firm Kaspersky is closing its US operations and laying off staff following a recent nationwide ban on its antivirus software. The Commerce Department’s decision to prohibit sales of Kaspersky products in the US and the Treasury’s sanctions on a dozen company executives led to this outcome.
A Kaspersky representative stated, “The company has carefully examined and evaluated the impact of the US legal requirements and made this sad and difficult decision as business opportunities in the country are no longer viable.” Less than 50 employees in the US division are affected and will receive severance.
The company, which has an office in Woburn, Massachusetts, began selling its software in the US in 2005. Kaspersky’s US website now features a farewell message and an offer for existing customers to receive some services for free for the next six months.
The US initially banned government use of Kaspersky software in 2017, expanding the ban nationwide last month. The prohibition takes effect on July 20, though current users won’t face legal penalties for continued use. Regulators caution about “associated risks” due to potential exploitation by the Kremlin.
Despite the closure, Kaspersky asserts that the ban stems from geopolitical concerns rather than a thorough evaluation of its products’ integrity.
