Kaspersky Shuts Down US Operations Following Ban

Russian cybersecurity company Kaspersky Lab announced on Monday that it will “gradually wind down” its operations in the United States and lay off its US-based employees. This decision follows the Department of Commerce’s ban on selling Kaspersky products in the US.

Kaspersky Lab’s closure of its US operations will begin on July 20, ending nearly 20 years of business in the country, as stated by the company.

“The company has thoroughly assessed the impact of US legal requirements and made the difficult decision to exit the market, as continuing business in the US is no longer viable,” Kaspersky Lab said.

The news of the company’s closure was first reported by independent journalist Kim Zetter. The Commerce Department had announced the ban last month, citing national security concerns.

US officials have alleged that the Russian government could exploit Kaspersky’s widely used anti-virus software to spy on Americans through hacking or data collection. Kaspersky has consistently denied these allegations.

Kaspersky Lab’s software is used by over 400 million people and 240,000 companies worldwide, though the exact number of US users is unclear.

While US government agencies were already prohibited from using Kaspersky Lab software, the Commerce Department’s recent action to ban its sale in the US is unprecedented. The legal basis for the ban stems from a 2021 executive order by President Joe Biden aimed at protecting Americans’ personal data from “foreign adversaries,” and a related order signed by then-President Donald Trump in 2019.

CNN reported in April that the Commerce Department was moving against Kaspersky Lab.

Founded in Moscow in 1997, Kaspersky Lab became one of the world’s leading anti-virus software companies, competing with American firms like McAfee and Symantec. Kaspersky Lab’s researchers are highly regarded in the cybersecurity field for their analysis of hacking operations linked to various governments, including Russia, the United States, and Israel, as well as cybercriminal threats affecting everyday users.

In its Monday statement, Kaspersky Lab emphasized its commitment to continuing investments in strategic markets and supporting its customers and partners to ensure their protection.