Kaspersky Shuts Down U.S. Operations

Security software company Kaspersky has announced it is closing down its United States operations. The news comes just days before a federal ban on sales of its products was set to take effect, due to concerns about cyber espionage.

As first reported Monday by Zero Day's Kim Zetter, the company is "gradually" closing its U.S. business and laying off fewer than 50 employees.

A note on the Kaspersky homepage confirmed its U.S. exit, as well as announced a free software giveaway for existing customers as a parting gift:

To our lovely you [sic]

Thank you for choosing and trusting Kaspersky throughout the years. We're deeply moved with all the kind words and supportive messages received in these difficult times.

We've always strived and remain committed to provide the best cybersecurity there is -- independent, transparent and expertly managed. Unfortunately, for now, you have one less choice in defending yourself against online threats.

With Kaspersky leaving the U.S., we'd like to pay you back with the least we can: gifting you a selection of our security solutions for free for 6 months. They will be waiting for you in My Kaspersky.

And while we are gone, here are some tips:

  • Remember to always back up your data.
  • Be wary of links and double-check their source before clicking.
  • Protect your identity online, change passwords regularly and keep them long and complex.

Yours,

Kaspersky Team

The news comes less than one month after the U.S. Department of Commerce announced a nationwide ban on all sales of Kaspersky security software. That ban is set to take effect on July 20, at which point the sale, resale, integration and licensing of any Kaspersky software will become subject to civil and criminal penalties.

A subsequent ban on Kaspersky-issued security patches and software updates will take effect on Sept. 29.

The ban does not apply to Kaspersky's consulting services, nor to products in the Kaspersky Threat Intelligence or Kaspersky Security Training portfolios. Existing Kaspersky software customers will also not be penalized for continuing to use their products after the aforementioned dates.

The U.S. ban was the result of a "lengthy and thorough investigation" by the Department of Commerce that found Kaspersky, an antivirus software provider with over 400 million users worldwide, posed an "unacceptable risk" to the United States due to its ties to Russia. Kaspersky's eponymous parent company is headquartered in Moscow, raising concerns that it could be used as a tool for cyberespionage by the Russian government.

Kaspersky initially responded to the ban by denying it has any ties to the Russian government and accusing the Department of Commerce of acting "based on the present geopolitical climate and theoretical concerns, rather than on a comprehensive evaluation of the integrity of Kaspersky's products and services." It also promised to "pursue all legally available options to preserve its current operations and relationships."

Based on Monday's announcement, however, Kaspersky may have exhausted all of its available options to do business in the United States.

Kaspersky had been in the U.S. government's crosshairs for some time. In 2017, the Department of Homeland Security (DHS) issued a ban on nearly all things Kaspersky for the entire U.S. federal government. In 2022, Kaspersky landed on the Federal Communications Commission (FCC)'s running list of products that pose significant national security risks.

About the Author

Gladys Rama (@GladysRama3) is the editorial director of Converge360.

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