Microsoft Rus, a subsidiary of Microsoft Corp in Russia, is reportedly set to file for bankruptcy, Reuters reported citing a note published on the official Fedresurs registry.

Microsoft did not immediately respond to a request for comment, reported Reuters.

Russian President Vladimir Putin has previously stated that foreign service providers, such as Microsoft and Zoom, acting against Russian interests should be “throttled”.  

 

He also emphasised the importance of developing domestic software solutions to reduce reliance on foreign technology.

Following Russia’s invasion of Ukraine in February 2022, Microsoft continued to provide key services in the country.

However, in June 2022, the company announced it was “significantly” scaling back its operations in Russia due to changes in the economic outlook and impacts on its business.

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Shortly after the invasion, Microsoft took steps to limit its exposure, including removing Russian state-owned media outlet RT’s mobile apps from the Windows App store and banning advertisements on Russian state-sponsored media.

The Fedresurs note confirmed Microsoft Rus’s intention to declare bankruptcy.

 

According to the TASS news agency, Microsoft operates three other units in Russia, including Microsoft Development Centre Rus, Microsoft Mobile Rus, and Microsoft Payments Rus.

It remains unclear how these units might be affected by the bankruptcy filing, Reuter’s report said.

Google’s Russian subsidiary filed for bankruptcy in 2022 after Russian authorities seized its bank account, rendering it unable to pay Russia-based employees, suppliers, and vendors.

In May 2025, Microsoft teamed up with Yotta Data Services to enhance AI innovation in India by integrating Azure AI services with Yotta’s Shakti Cloud, creating an advanced AI cloud platform for developers, startups, enterprises, and public sector organisations.