How global companies continue to do business in Russia

The Russian market is Europe’s largest supply of potential customers for worldwide companies. Moreover, in accordance to ITA, Russia’s on-line market is among the largest markets in the world and has nice potential. By 2025, there will likely be 124 million Internet customers. This is a beautiful quantity for any business. However, lately, due to non-compliance with Russia’s Personal Data Act (Federal Law 152-FZ), an increasing number of global companies are below the supervision of the Federal Service for Supervision of Communications, Information Technology and Mass Media (Roskomnadzor). It is rising an increasing number of. These guidelines require global companies to retailer knowledge of Russian customers in Russia. This is similar because the GDPR requiring the info of European residents to be saved in Europe. We determined to examine the scenario and clarify how to do business legally and effortlessly in Russia.

What does the regulation say?

Federal regulation 152-FZ, in its present kind, requires the localization of non-public knowledge (PD) in Russia. This signifies that global companies servicing Russian prospects want to use databases positioned in Russia to make sure that private knowledge is recorded, systematized, saved, saved and clarified.

Please observe that the idea of non-public knowledge contains not solely your title, date of beginning, passport knowledge, and deal with, but additionally your deal with. Any Information associated to a specific particular person. For instance, the telephone quantity or electronic mail deal with itself just isn’t a PD. This is as a result of we don’t know precisely who this knowledge belongs to. But for those who’re speaking about any sort of database, together with the client’s full title and their contact info, that is the definition of PD. This definition additionally contains distinctive details about the person, equivalent to fingerprints, genetic info, and well being knowledge.

When do global companies fall below the regulation?

Even if the corporate doesn’t keep its Russian buyer base (which is now uncommon), the regulation applies if:

  • There is a Russian model of the web site or a Russian area.
  • Customers pay for companies and items in rubles.
  • Users will see advertisements in Russian on their web site.

In quick, the brand new regulation will have an effect on every kind of companies with Russian prospects and even guests, from social media companies and on-line publishers to streaming companies.

Who enforces the regulation?

Roskomnadzor oversees the implementation of the Russian Personal Data Act. The workplace might, primarily based on a court docket ruling, create a register of offenders and block the web sites of companies above it. Liability additionally contains fines. Starting in 2019, this fantastic can attain tens of 1000’s of {dollars}.

How can we assist?

In this authorized scenario, one of the best answer for global companies is to undertake the companies of cloud suppliers in Russian knowledge facilities like G-Core Labs.

We present global companies with an infrastructure that meets the necessities of Russian regulation. Overseas prospects embrace Metro Cash & Carry, Volkswagen, Avast, Michelin, Wargaming, Joom, Sandbox Interactive, Bandai Namco and RedFox Games.

In addition, migrating to the G-Core Labs cloud comes with many necessary business advantages.

  • High availability.. 99.95% SLA, with monetary assure in case of downtime. But thanks to dependable knowledge facilities, that’s not often attainable.
  • Rapid deployment.. Create IT infrastructures of all sizes in minutes, no matter business or business dimension.
  • Unlimited scalability. Fault tolerance in all knowledge facilities is as shut to 100% as attainable and measures are taken in opposition to system crashes. Companies can use one or a whole lot of digital machines to retailer a vast quantity of knowledge.
  • Reduced capital funding and monetary transparency.. No funds or minimal charges are required to transfer your infrastructure to the cloud. It additionally has no extra set up or configuration prices. Billing relies on a pay-as-you-go mannequin. Customers pay just for the assets they use.
  • 24/7 assist.. Our specialists take full benefit of technical assist to assist your organization focus in your business.
  • reliability.. Disaster restoration companies assist defend your business from downtime throughout numerous failures (for instance, in case your database is by accident deleted on a manufacturing server).
  • Bare steel.. Our cloud service permits you to deploy your utility to a devoted server.
  • Easy migration.. For global enterprises, shifting to the cloud is a quick and safe course of that holds all the info you want.

Moscow S3 storage

We created S3 cloud object storage in Moscow to securely retailer giant quantities of knowledge in compliance with Federal Law 152-FZ. This service is of curiosity to recreation builders, multimedia on-line service suppliers, and heavy useful resource house owners.

Cloud storage helps cut back the price of constructing and sustaining your personal IT infrastructure. Uninterrupted entry and limitless scalability provide you with larger flexibility in your business processes.

S3 storage could be very helpful when used with cloud companies and global CDNs.

You also can handle entry to shared datasets and object lifecycles, set intervals at which backups are deleted, and automate this course of.

Various digital machine configurations

Any firm can host their very own digital cloud or join to a devoted digital server with completely different configurations of CPU, RAM, and GPU for computing duties and initiatives.

The G-Core Labs infrastructure relies on Intel options, together with the newest third technology Intel Xeon Scalable (Ice Lake) processors. Intel SGX’s delicate knowledge safety expertise can be built-in into the G-Core Labs cloud.

Seva Vayner is Head of Cloud Platform at G-Core Labs.

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