Cybersecurity company Kaspersky Lab has announced that it will cease all operations in the United States, just weeks after the US Department of Commerce banned the company’s software from being used in the US.
July 16, 2024 11:02 AM EST
• 3 min read
NEW YORK — Cybersecurity company Kaspersky Lab has announced it is ceasing all operations in the United States, just weeks after the Commerce Department banned the company’s software from being used in the country.
A statement from Kaspersky Lab in Moscow said the company would “gradually wind down” its US operations starting July 20. US-based jobs would also be cut, the company said, later confirming that fewer than 50 employees would be affected.
“Kaspersky has operated in the United States for nearly two decades, contributing to the nation’s strategic cybersecurity objectives by protecting organizations and individuals in the country from ever-evolving cyber threats,” Kaspersky said in a statement. “After careful consideration and evaluation of the impact of U.S. legal requirements, we have made this sad and difficult decision as business opportunities in the U.S. are no longer viable.”
Last month, the Commerce Department announced it would ban the sale of Kaspersky Lab software in the United States, with the government arguing that the company’s ties to Russia pose “excessive or unacceptable risks to the national security or safety and security of the United States.”
In its June 14 decision, the Defense Department said Kaspersky Lab is obligated to comply with Russian law, but that its software could be misused to identify sensitive data on U.S. citizens and provide it to Russian government officials.
“The action the Department of Commerce took against Kaspersky Lab was taken in response to a significant threat to the national security of the United States,” a department spokesman said in a statement to The Associated Press on Tuesday, adding that the action was the result of a thorough review and assessment of the risks posed by the products and services the company offers and was “not taken lightly.”
Kaspersky Lab has previously denied that it poses a security threat. In its June 21 response to the Commerce Department’s decision, the company said it does not knowingly obtain classified data of Americans and that its Russian operations and employees have access only to aggregated and statistical data that is not attributed to specific individuals.
The company also argued that the government made the decision based on “geopolitical developments and theoretical concerns” rather than independently examining the risks. Kaspersky said this favors cybercriminals while limiting consumer choice.
In its decision last month, the ministry said it had considered Kaspersky’s objections to its initial findings but found the decision to ban the company’s software was still “well supported.”
Kaspersky, which boasts one of the world’s most popular consumer antivirus products and a widely respected research division that regularly takes down elite hacking groups, said in a statement this week that its “business remains strong” and that its priority remains “protecting customers in every country from cyber threats.”
News that the company was closing its U.S. operations was first reported on Monday by journalist Kim Zetter.
