Zoom restricts sales and distribution to the Russian Government, State firms: Report

Zoom has banned its distributors from selling services to government agencies and state-owned companies in Russia and other neighboring countries, reports the Moscow Times quoting daily on April 7.

According to the daily newspaper, Russia’s authorized partner, RightConf, informed its Russian and Soviet counterparts that the company was revoking licenses to sell government agencies and government-sponsored organizations.

Since last year, the video conferencing platform has emerged as a leading conference speaker as millions have been forced to isolate themselves due to the coronavirus epidemic.

It is reported that the sale ban came into effect on March 31 and will no longer apply to current contracts.

RightConf chief executive Andrei Petrenko was quoted as saying, “I’m not saying the company will make a different product for the public sector.”
Experts interviewed daily linked the ban with the risks of US sanctions and the difficulty of complying with Russian law, which Moscow has begun to fully implement in recent years.

Zoom’s policy could affect the Russian education market, adding that the company had participated in many tenders announced by Russian colleges and universities in 2020.

Zoom Video Communications occupies a quarter of the market for video conferences in Russia but generates only one percent of its revenue.

The country needs technology companies to first install their devices with Russian-approved software. According to the report, Russia has vowed to launch its own Zoom in 2022.

Also read : Tata Power Solar doubles production capacity to 1100 MW

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top