Putin Advocates for Tough Measures Against Foreign Tech Presence in Russia

President Vladimir Putin stated late Monday that Western technology firms still functioning in Russia but acting against the nation’s interests should be «strangled,» as the government strives to substitute foreign software and services with domestic ones.

“We need to take decisive action against them… I won’t hesitate to say this,” Putin remarked during a Kremlin gathering with business leaders, responding to concerns raised by Iva Technologies CEO Stanislav Iodkovsky, who indicated that local companies were “losing billions” due to firms like Zoom and Microsoft not completely exiting the Russian market.

“We must mirror their actions,” the Russian leader asserted. When asked about Russian consumers who still depend on foreign software and services, Putin suggested that his proposal would help eliminate their “bad habits.”

Since Russia initiated its full-scale invasion of Ukraine in February 2022, numerous Western businesses have either exited or reduced their operations in the country. In retaliation, the Kremlin has implemented significant exit fees on those still remaining.

“We haven’t driven anyone out… we have provided the best possible conditions for them to operate in our market, yet they attempt to strangle us,” Putin commented during the meeting.

However, he also remarked that Russia would not “welcome with open arms” companies like McDonald’s, which divested its Russian operations in 2022. The American fast food brand was quickly succeeded by Vkusno i tochka, a rebranded version of McDonald’s.

As U.S. President Donald Trump sought to improve relations with Moscow and facilitate an end to the conflict in Ukraine, there were rumors suggesting that some Western companies were contemplating re-entering the Russian market. Nevertheless, Putin has issued a warning that any potential return would be subject to stringent protectionist conditions.

Simultaneously, business leaders and economic officials within Russia have indicated that they have yet to observe any interest from foreign companies in resuming operations in the country. Western entities, for their part, continue to perceive risks associated with conducting business in Russia.