Oracle and SAP Halt Russian Operations Amid Growing Tech Exodus
Oracle and SAP suspend all business operations in Russia following a direct plea from Ukraine's Vice Prime Minister. This departure is part of a massive corporate withdrawal as Russia attempts to retain local IT talent with 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 publicly urges these enterprise software giants to cancel their Russian engagements, and both companies quickly comply. SAP CEO Christian Klein strongly condemns the invasion as an attack on humanity and confirms the immediate pause of all product sales and services in the country.
This corporate withdrawal extends far beyond Oracle and SAP as major global brands sever ties with the Russian market. Tech hardware leaders including AMD, Intel, Dell, HP, and Lenovo stop shipping components and products to the nation. Meanwhile, other industry giants like Amazon, Apple, Google, and Disney severely restrict the availability of their services and entertainment offerings across Russia.
As international businesses exit, the Russian government scrambles to prevent a total collapse of its domestic technology sector. Russian Prime Minister Mikhail Mishustin announces a three-year income tax exemption for all IT companies along with a suspension of regulatory inspections. Additionally, the government excuses specialized tech workers from mandatory military service and offers subsidized loans to help local firms survive the sudden economic isolation.