Microsoft has been fined $3 million by the US government for allegedly violating sanctions against Russia. The company’s software and services were found to have been used by companies and individuals in the Crimea region of Ukraine. Microsoft had a subsidiary in Russia which was not compliant with the sanctions, allowing a previously rejected company to obtain a license for Microsoft services under a pseudonym. Additionally, the company’s internal screening process was found to be inadequate, allowing a number of blacklisted entities to purchase $12 million worth of services. Microsoft has stated that it takes export controls seriously and has voluntarily shared the information with authorities. The fine, while significant, is a rounding error in comparison to the company’s $140 billion profit in 2022.
