A court in Moscow said that it has fined the holiday rental company Airbnb, video streaming service Twitch, United Parcel Shipping (UPS), and the image sharing social media Pinterest for refusing to store Russian citizens' personal data in Russia..
The three companies failed to localize the storage of the personal data of their Russian users, even when they've been asked multiple times.
Russia’s communications watchdog Roskomnadzor has made it clear, that foreign operators must ensure recording, systematization, keeping, updating, changing and recovery of data of Russian users with the use of databases locating within the country. These rules provide the sufficient level of data security, the watchdog states.
And here, the Magistrates Court in Moscow’s Taganka district ordered the Airbnb and Twitch to pay 2 million rubles ($37,500) each for violating personal data legislation, and failing to abide by a law that requires the local storage of user data.
The court ordered UPS to pay a fine of 1 million rubles on the same charge.
Moscow has clashed with U.S. companies over content, censorship, data and local representation for many years.
But the government seems to be on full force since Russia started invading Ukraine on February 24.
And this time, the three companies were fined amid a Russian government campaign which has targets of having more control over the internet in the country.
The case was opened by Russia's communications regulator Roskomnadzor in late May.
For first-time offences, companies can be fined 1-6 million rubles, said Roskomnadzor, which has also opened cases against Apple and LikeMe.
Russian President Vladimir Putin has accused international tech giants of exploiting the country's internet laws, including preventing themselves from being forced to open offices in Russia.
Previously, Moscow courts have also fined Google, Facebook, Twitter, WhatsApp, Telegram, and TikTok over the personal data issue, as well as for refusing to delete content deemed to have been banned under Russian law.
Russia fined Google 15 million rubles for repeated failure to comply with Russian legislation on data storage, after handing it a 3-million-ruble penalty in 2021.
Google's Russian subsidiary has filed for bankruptcy after Russian authorities seized its bank account, making it impossible to pay staff and vendors.
But because Google is by far, the largest tech company from the U.S. in Russia, the company can, and may still face other possible fines over content.
In fact, Roskomnadzor has indeed fined Google 68 million rubles for helping spread what it called "unreliable" information on the war in Ukraine and the failure to remove it from its platforms.
The Russian telecommunications regulator said Google's YouTube online video sharing platform "purposefully contributes" to spreading inaccurate info on Russia's war in Ukraine, thus defaming Russia's army.
Many critics said that Russia's efforts to control online content have nothing to do with "internet integrity."
Instead, many are accusing the government for trying to impose more control over the media in the wake of Russia's ongoing unprovoked invasion of Ukraine.
Separately, the court said it had fined Canada-based storytelling platform Wattpad for 1 million rubles because it failed to delete content that Russia deems illegal.
