Oracle and SAP Halt Russian Operations Amid Global Tech Exodus
Oracle and SAP suspend all business operations in Russia following a direct appeal from Ukraine's Vice Prime Minister. This withdrawal occurs as Russia attempts to prevent an IT talent drain by offering tax breaks and military exemptions.
Oracle and SAP officially suspend all business operations in Russia in response to the ongoing invasion of Ukraine. Ukrainian Vice Prime Minister Mykhailo Fedorov specifically urges these enterprise software giants to cancel their Russian engagements, and both companies promptly comply. SAP CEO Christian Klein strongly condemns the invasion as an attack on humanity and confirms the immediate pause of all SAP product and service sales in the country.
This withdrawal is part of a massive, coordinated exodus of global technology companies from the Russian market. Chip manufacturers like AMD, Intel, and TSMC halt component shipments, while hardware makers such as Dell, HP, and Lenovo stop sending products. Meanwhile, other major corporations including Apple, Google, Ford, and Disney severely restrict their services and offerings within Russian borders.
As international businesses flee, the Russian government scrambles to retain its crucial IT workforce and prevent further economic damage. To staunch the outflow of specialized tech talent, Russian Prime Minister Mikhail Mishustin announces a three-year income tax exemption for IT companies along with a suspension of regulatory inspections. Additionally, the government excuses specialized technology workers from mandatory military service and offers low-interest loans to help domestic tech firms continue their operations.