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Not many foreign IT giants have started enforcement of localization law, says report

The provisional commission together with respective state structures proceeds with targeted efforts to prevent the illegal actions of foreign digital giants in a move to protect the sovereign rights of Russian citizens under the existing legislation

MOSCOW, December 15. /TASS/. Not many large foreign IT companies have started taking specific steps on complying with the law obliging them to open subsidiaries or representative offices in Russia, and starting January 1 they will bear the responsibility for the possible consequences of the failure to observe Russian legislation, according to an annual report of the provisional commission of the Federation Council (upper house) on the protection of state sovereignty and prevention of meddling into Russia’s domestic affairs.

"According to the commission’s data, as of December 1 this year, not many foreign IT giants have started work on complying with the requirements of Russian legislation. The commission has repeatedly (starting this July) drawn the attention of the heads of the respective foreign structures to the necessity of observing the requirements of the new law in time, and to the fact that it is advisable to use a half-year preparatory period defined by the law for this. That said, it has been stated that the foreign companies will be fully responsible for all possible consequences of the failure to fulfill the norms of the Russian legislation starting January 1, 2022," according to the report obtained by TASS.

The provisional commission together with respective state structures proceeds with targeted efforts to prevent the illegal actions of foreign digital giants in a move to protect the sovereign rights of Russian citizens under the existing legislation, the report said. Moreover, the commission is also concerned by the numerous leaks of personal data of Russian users and their consequent use without the consent of and often to the prejudice of Russian citizens, which substantially violates their rights. "The commission notes a dangerous trend of discussions about digital platforms being limited to abstract reasoning ‘about the values of the free speech and democracy’. In such discussions of our foreign colleagues from the US, other NATO and EU countries, the attempts to ignore the facts of resisting the undesirable effects of the development of information and telecommunication technologies, serious restrictive measures and punishments on Internet giants are obvious, this also includes the protection of own sovereign spaces from external influence undesirable for them," senators emphasized.

They noted that the countermeasures on real challenges from the Russian authorities are interpreted largely negatively, though such actions are comparably milder. "The commission suggests that interparliamentary consultations on the issue be revived and expanded, with representatives of the civil society being involved in it. It is important to look at how the laws of one country will be applied by digital platforms in the sovereign space of other states very carefully. The commission will continue an in-depth consideration of this block of issues in 2022," the report said.

Earlier, Russian President Vladimir Putin signed the bill into law obliging the owners of foreign Internet resources with a daily audience of over 500,000 Russians to open subsidiaries and offices in the country starting January 1, 2022. It also introduced a set of measures obliging IT companies to observe Russian legislation, including the possibility to partially or fully block a platform for violating the law as an emergency measure.

In late November Russia’s mass media watchdog put 13 companies on the register of companies to observe the localization law, including Google (Google Play, YouTube, YouTube Music, Google Chat, Gmail), Apple (iCloud, App Store, Apple Music), Meta Platforms (Facebook, Instagram, WhatsApp), Twitter, TikTok, Telegram, as well as Zoom, Viber, Spotify, Likeme Pte.Ltd. (Likee), Discord, Pinterest and Twitch.