The sanctions against Russia continue to gain momentum in the world of Tech and Gaming.
The sanctions are still in place while the world condemns Russia’s invasion of Ukraine, and it appears that many businesses are going to great lengths to force Putin’s hand.
Here are a few more companies imposing sanctions on Russia and its people.
Nintendo has put a halt to digital sales in Russia:
For the time being, gamers in Russia will not be able to purchase digital games via Nintendo’s eShop. The eShop in Russia has been temporarily put into maintenance mode, according to the gaming giant, “due to the fact that the payment service [it uses] has suspended the processing of payments in rubles.”
People have been reporting the outage on social media, with photographs of their Switch displaying error code 2813-0999 when attempting to access the Russian eShop, according to Nintendo Life.
It’s unclear whether Nintendo intentionally stopped accepting payments in the region, or if the business was forced to do so because a third-party processor deleted ruble payments from its system.
Epic Blocking Commerce in Russia, but Not Access:
Epic Games was one of the latest companies to make an official statement about how it will respond to Russia’s invasion of Ukraine. Epic Games made it clear in its announcement that it is taking a different strategy than many others in that it will stop doing business with Russia but will still enable Russians access to its products.
Epic declared via its official Twitter account that it is moving in the direction of firms like Ubisoft, but that it is taking one move in particular that some believe will be quite useful. Epic said it was “stopping commerce with Russia” in its games in response to the Ukraine invasion.
However, the corporation stated that it would not go so far as to completely ban the usage of its products. Epic went on to say that it isn’t completely shutting down access because other communication tools are still available in Russia and that the “free world” should maintain all lines of communication and conversation open.
This strategy appears to be at odds with what Ukrainian Vice Prime Minister Mykhailo Fedorov requested while addressing Xbox and PlayStation actions. Fedorov urged that Microsoft and Sony cut off all access to Russian users in order to isolate them.
The idea seemed to be that if the Russian people lost all contact with the outside world, it would trigger a wave of retaliation against the Russian government. Epic, on the other hand, looks to be pursuing the strategy that was mentioned in multiple tweet thread comments.
One widely held belief is that allowing Russian gamers who use the company’s product to speak with others will expose them to perspectives they wouldn’t otherwise encounter.
Epic Games has clearly joined other firms in criticizing the attacks on Ukraine, but the company appears to believe that isolating Russian citizens from the rest of the world is more beneficial than allowing them to hear what others around the world have to say about the invasion.
Twitch Stops Paying Russian Streamers:
Russian Twitch streamers allege they haven’t received their revenue since the live-streaming site joined the anti-Putin sanctions campaign. Twitch is an Amazon subsidiary that is one of the most popular video game live-streaming sites in the world, with a sizable Russian user base (more than 4% of the total).
Twitch is now sending Russian streamers an e-mail stating that the company intends to comply with international sanctions related to the invasion of Ukraine, halting their payouts.
Twitch does appear to provide some hope to its Russian streamers, claiming that it will try its best to make the payments “once it is allowed to do so.” With the third round of ceasefire talks yielding little, there is little hope for a quick resolution of the war and, as a result, of the sanctions.
To make matters worse for Russian users, the government recently made it illegal to distribute “false news” about the Russian military, causing TikTok, a video-focused social network, to temporarily cease live-streaming and new content. Many Russians have said that they will keep streaming despite not being paid maybe they hope for a quick resolution.
PayPal’s services in Russia have been suspended due to the assault on Ukraine:
Payments company PayPal Holdings Inc (PYPL.O) shut down its services in Russia citing “the current circumstances”.
Chief Executive Dan Schulman said in a statement:
“Under the current circumstances, we are suspending PayPal services in Russia. He added that the company “stands with the international community in condemning Russia’s violent military aggression in Ukraine.”
A company spokesperson said PayPal will support withdrawals “for a period of time, ensuring that account balances are dispersed in line with applicable laws and regulations.”
PayPal, which had only allowed cross-border transactions by users in Russia, stopped accepting new users in the country.
PayPal said on Friday that “since the beginning of the invasion, PayPal has helped raise over $150 million for charities supporting response efforts in Ukraine, one of the largest efforts we’ve seen in such a short period of time.” PayPal’s suspension in Russia also applies to its money transfer tool Xoom.
Rivals Wise and Remitly earlier suspended some services in Russia.
Samsung stops shipments of phones to Russia:
Due to recent geopolitical developments, Samsung has halted product shipments to Russia. The South Korean tech giant is keeping a close eye on the complicated situation, according to an emailed statement to Bloomberg. According to a source acquainted with the situation, all Samsung products, including processors, smartphones, and consumer electronics, have been halted in Russia.
Samsung said in the statement:
“Our thoughts are with everyone who has been impacted and our priority is to ensure the safety of all our employees and their families.”
Mykhailo Fedorov, Ukraine’s vice prime minister and chief of digital operations, wrote to Samsung vice chairman Han Jong-hee ahead of the announcement, urging the Korean tech giant to temporarily stop sending services and products to Russia.
Federov said in the letter:
“We believe that such actions will motivate the youth and active population of Russia to proactively stop the disgraceful military aggression. We need your support – in 2022, modern technology is perhaps the best answer to the tanks, multiple rocket launchers, and missiles targeting residential neighborhoods, kindergartens, and hospitals. Stay with Ukraine and save millions of innocent lives!”
The corporation is providing $6 million to humanitarian operations in the region, including $1 million in consumer electronics products.
Snapchat has stopped advertising in Russia, Belarus, and Ukraine:
The app is still available as an app in the country though. Platforms in the European Union will not allow access to content from Russia Today and Sputnik News.
The ability to put ads on these sites could allow the government to reach a wider audience with its propaganda. Twitter has also begun labeling messages containing links that originate from Russian news groups. Snapchat clarified its position on the Russia-Ukraine conflict.
In an official statement, Snapchat declared that it will no longer broadcast adverts in Russia, Belarus, and Ukraine. In addition, the photo-sharing network has ceased advertising sales in Russia and Belarus, in accordance with Russian economic sanctions. “We do not accept revenue from Russian state-owned entities,” Snapchat states, taking a statement.
In all three nations, however, Snapchat will continue to be available as a “communication tool.” Nevertheless, Snapchat has said that it is vigilantly monitoring its platform for “any evidence of disinformation or misuse.”
As a reminder, the augmented reality technology used by Snapchat was created by a Ukrainian company called Looksery.
In addition, the app says in its post that it has never allowed Russian state media to distribute content via the Discover section on Snapchat or through paid ads. Further, Snapchat has articulated its support to its “Ukrainian team members and the people of Ukraine.”
Due to sanctions, Russians are unable to pay for Spotify and Netflix subscriptions:
Users of Sberbank, Tinkoff, and Alfa-Bank cards were unable to pay for a Spotify subscription while receiving an error message. Additionally, when using Tinkoff and Alfa-Bank cards to register for Netflix, the system generates an error. Netflix faced concerns with the acquiring bank, which was on the sanctions list, according to the Tinkoff press office.
When trying to pay for a Netflix subscription with a Tinkoff card, the following message appears:
“It looks like there is a problem with the card you are trying to use. Use another card or check with your bank if your card is for international transactions.”
Last week, cards of a number of Russian banks stopped working with Apple Pay and Google Pay.
Following the sanctions, Visa, Mastercard, and Amex have blocked Russian banks:
Following international sanctions in reaction to Moscow’s invasion of Ukraine, Visa, Mastercard, and American Express declared they were blocking Russian banks from their payment networks.
Mastercard Chief Executive Michael Miebach said in a statement:
“As a result of sanction orders, we have blocked multiple financial institutions from the Mastercard payment network. We will continue to work with regulators in the days ahead to abide fully by our compliance obligations as they evolve.” Visa said on its website that it is “taking prompt action to ensure compliance with applicable sanctions, and is prepared to comply with additional sanctions that may be implemented.”
While American Express said its business in Russia was “small,” it stressed that “since the beginning of this crisis, we have been complying with US and international sanctions.”
Amex CEO Stephen Squeri said that:
“has resulted in us halting relationships with impacted bank partners in Russia, and we will continue to comply with all relevant laws as the situation evolves”.
Mastercard also said it is working to guard against cyberattacks, “the threat of which is heightened significantly in the present environment.”
American Express is taking all necessary steps to detect, prevent, and respond to any malicious activity through our layered defenses,” said Squeri for his part.
Some Russian channels have their monetization blocked by YouTube:
RT, a Russian state-funded news organization, will not be able to earn money on YouTube.
A spokesperson for YouTube stated:
“In light of extraordinary circumstances in Ukraine, we’re taking a number of actions. Our teams have started to pause the ability for certain channels to monetize on YouTube, including RT’s YouTube channels globally. As always, our teams are continuing to monitor closely for new developments, including evaluating what any new sanctions and export controls may mean for YouTube.”
In addition to restricting monetization, YouTube added it would limit recommendations to the same channels and is “continuing to actively surface authoritative news content” in Russia- and Ukraine-related search results.
Videos from RT and a number of other channels will also be “restricted” by YouTube, the company said. Western authorities frequently accuse RT, which was founded in 2005 under the moniker “Russia Today,” of spreading disinformation.
YouTube noted that over the past few days it has removed hundreds of channels, including some for “coordinated deceptive practices,” the term the company uses for disinformation.
Sony Suspends All PlayStation Sales in Russia:
Sony has announced the suspension of all PlayStation sales in Russia for the foreseeable future, joining a list that already includes major corporations such as McDonald’s, Starbucks, and Coca-Cola.
Sony announced the announcement along with the suspension of the PlayStation Store in the country in a statement:
“Sony Interactive Entertainment (SIE) joins the global community in calling for peace in Ukraine.”
Sony has also pledged a $2 million donation to the UNHCR, Save the Children, and an international non-governmental organization to aid conflict victims.
This was a major decision for Sony as PlayStation has a large player base in Russia, but it is also likely that this decision will impact Russia’s bottom line considerably.
All of these answers from large and small gaming companies will ideally combine with government sanctions to have an impact on the Russian economy and, in turn, aid in the conclusion of the war.
This movement appears to be gaining traction around the world, with businesses expressing solidarity with the Ukrainian people. It will be interesting to see how many more businesses join the sanction train.