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Cisco announces plan to exit Russia and Belarus

After first suspending operations in March 2022, the networking company has formally announced it will be quitting Russia.

Cisco has announced plans to formally exit Russia, winding down its business operations in Russia and Belarus in response to the invasion of Ukraine earlier this year.

The networking company first made a statement on March 3, declaring that it would be halting all business operations in Russia and Belarus "for the foreseeable future." On Thursday the company released another statement, noting that it had continued to "closely monitor" the war in Ukraine and as a result, a decision had been made to "begin an orderly wind-down of our business in Russia and Belarus."

"Cisco remains committed to using all its resources to help our employees, the institutions and people of Ukraine, and our customers and partners during this challenging time," the statement said.

On an earnings call in April, Cisco’s CFO Scott Herren told analysts that historically, Russia, Belarus and Ukraine collectively have represented approximately 1% of the company’s total revenue.

However, he noted that the decision to stop business operations in both Russia and Belarus did have a negative impact on revenue, costing the company "approximately $200 million or two percentage points of growth."

(Article by Charolette Truman | Network World)

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