Russia isn’t famous for its high investment in software and thus many enterprises in this country use Windows and other western software. This attitude changed with international sanctions, which caused an increase in the prices of all software that came from the west. Putin called for the digital sovereignty of Russia, and many companies answered it. The state also started investing in the development of software that would replace imports.
Over the three-quarters of total investments in software, in 2015, went into imports. The number is staggering if you consider that the total investments are almost 3 billion dollars. The Putin and his government created a plan that will reduce that amount by 50 percent in next 20 years.
The rise of Russian software
The answer to Putin’s call for digital sovereignty came from many big enterprises, and the first one was OAO Sberbank, which started using Rosa-Linux, a local operating system. They chose to use it instead of operating systems from western companies like Oracle and Microsoft. OAO Gazprom followed in their wake as they started using GeoMate, software for analysis of geological data.
This change isn’t going to happen instantly, and not all industry fields can switch to domestic programs as there aren’t any alternatives. Some larger companies invest in new programs, and they organize their teams that are tasked to create new software. Businesses that lack resources for that look toward the state, in the hope that its investments will result in the software they can use.
The Russian government gave full support to small development companies and individuals who are willing and able to create software for those that need it. They also increased their investments in the digital branch of the industry and promised that the investments would increase as the years pass.
This move caused great concern among big software companies like Microsoft and Oracle as their sales (estimated at 950 millions of dollars) as their profit will go down in the following years. The weakening of the rubble is another factor that will damage their sales.
The reaction of the Western companies
The response of various enterprises of the West was different. The representatives of Oracle refused to comment on this news, while Microsoft officials stated that they expect the decline of revenue from Russia, China, and Japan.
sanctions that increased the price of western products in the Russia. This change isn’t just a political move by Putin to lessen the penalties, and it is a real deal.
This change won’t stop, and it will continue, and no matter how many years it takes, the Russia will become a fully independent nation that uses its domestic software.