Kaspersky Lab to Cease US Operations Following Government Ban

Russian cybersecurity firm Kaspersky Lab announced it will “gradually wind down” its US operations and lay off its US-based employees following a ban by the Department of Commerce. The move comes after the department prohibited the sale of Kaspersky’s products in the United States, citing national security concerns.

The company stated that the shutdown will commence on July 20, ending nearly two decades of operation in the US. “The company has carefully examined and evaluated the impact of the US legal requirements and made this sad and difficult decision as business opportunities in the country are no longer viable,” Kaspersky Lab explained in a statement.

Independent journalist Kim Zetter was the first to report on the shutdown. The Commerce Department’s ban, announced last month, is based on fears that the Russian government could potentially exploit Kaspersky’s popular anti-virus software for surveillance through hacking or data collection—claims that Kaspersky has strongly denied.

Kaspersky’s software is used by more than 400 million people and 240,000 companies worldwide. However, it remains unclear how many of these users are based in the United States.

US government agencies were already barred from using Kaspersky software, but the Commerce Department’s decision to ban its sale marks an unprecedented escalation. The legal authorities cited for this ban are relatively new, stemming partly from a 2021 executive order by President Joe Biden aimed at protecting Americans’ personal data from “foreign adversaries,” and a related order signed by former President Donald Trump in 2019.

Founded in Moscow in 1997, Kaspersky Lab has grown into one of the leading anti-virus software companies globally, competing with American firms like McAfee and Symantec. Kaspersky’s researchers are highly regarded for their analysis of hacking operations attributed to various governments, including Russia, the United States, and Israel, as well as cybercriminal threats affecting everyday users.

In its statement, Kaspersky Lab affirmed it would “continue investing in strategic markets and remain committed to serving its customers and partners and ensuring their protection.”