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Accenture Halts Russia Business Operations; Vows to Support Impacted Employees

attends WIRED25 Work: Inside San Francisco’s Most Innovative Workplaces on October 12, 2018 in San Francisco, California.

attends WIRED25 Work: Inside San Francisco’s Most Innovative Workplaces on October 12, 2018 in San Francisco, California.

Global IT consulting giant Accenture has halted business in Russia -- the latest indication that Russia's invasion of Ukraine is impacting the IT services market. Accenture vowed to support roughly 2,300 employees impacted by the decision, but did not disclose details about potential severance or support plans.

High-profile cloud, hardware and software companies such as Apple, Dell Technologies, Oracle and SAP -- among many others -- have halted various sales and business operations in Russia. But Accenture is one of the largest,  highest-profile IT consulting firms to cease operations in Russia.

Accenture Ends Russia Business Operations; Stands With Ukraine

In a two-paragraph statement about the decision, Accenture said the company is:

  1. Standing "with the people of Ukraine and the governments, companies and individuals around the world calling for the immediate end to the unlawful and horrific attack on the people of Ukraine and their freedom."
  2. Discontinuing business in Russia.
  3. Providing support to nearly 2,300 colleagues in Russia that are impacted by Accenture's decision to cease operations in that country.
  4. Donating $5 million to nonprofit relief organizations working to help people in Ukraine and those who are being displaced into Poland, Romania, Slovakia, Hungary and the Czech Republic.
  5. Matching 100% of the donations from Accenture employees.

The Accenture statement did not quote a specific executive from the company.

Ukraine-Russia Conflict: Cybersecurity and IT Services Implications

Russia's invasion of Ukraine has had ripple effects worldwide. In addition to the human toll, the invasion has crystallized how how kinetic warfare (bombs, guns, bullets, etc.) is now fully intertwined with cyber warfare.

Moreover, the invasion could undermine IT services and software development projects worldwide. The reason? Ukraine is one of the world’s leading providers of outsourced IT services, programmers and other types of technology professionals.

Of major note: 13 of the world’s Top 100 outsourcing service providers are headquartered in Ukraine, and eight additional companies have offices in the Ukraine, according to the International Association of Outsourcing Professionals (IAOP). Key Ukraine companies to know include Elitex, Softserve and Fiverr, according to FastCompany.

Accenture does not have employees in Ukraine, but vowed to stand in solidarity with the country and its people.

Joe Panettieri

Joe Panettieri is co-founder & editorial director of MSSP Alert and ChannelE2E, the two leading news & analysis sites for managed service providers in the cybersecurity market.

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