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The Kremlin did not respond to a request for comment. A representative of state telecoms regulator Roscomnadzor, Vadim Ampelonsky, said he could not comment because his agency was not involved in drafting laws. Russian regulator Roscomnadzor has repeatedly accused Facebook and Google of failing to comply with Russian laws. It blocked access to LinkedIn in 2016 and tried to do the same to the Telegram encrypted messenger service in April. A Google representative in Russia declined to comment on the accusations or the proposal for new fines. Neither Facebook nor Telegram CEO Pavel Durov responded to requests for comment gucci cufflinks replica uk sale.
One of the sources who told Reuters about the proposal works for a Russian technology firm, one is at a foreign tech company and the third works for an industry lobby group gucci cufflinks replica uk sale. They spoke on condition of anonymity because they are not authorized to speak to the media. Just like lawmakers and officials in the United States and the European Union, Russia is wrestling with the challenge of how to limit the power of tech companies that have accumulated vast wealth and enormous vaults of data. The proposal to levy companies 1 percent of annual revenue could lead to substantial fines..
Google’s Russian subsidiary, for example, had revenue of 45.2 billion roubles ($687 million) in 2017, according to the SPARK database which aggregates data from business registries gucci cufflinks replica uk sale. “For a foreign company, that’s already a significant amount,” the source at the foreign tech firm said, though they added that it was unclear how the fine would be collected given some companies have no legal entity in Russia. Under the proposed amendments, a fine could also be levied multiple times on the same company for every time it is found to have committed a violation..
By comparison, under current legislation the maximum fine Google in Russia can face in an ongoing case brought against it by Roscomnadzor is 700,000 roubles ($10,595). That case relates to allegations that Google, which is owned by Alphabet Inc. (GOOGL.O), failed to comply with requests to remove search results for organizations that are banned in Russia. Google has not commented on the allegations. Facebook has said it is in discussions with the telecoms watchdog about its compliance with the rules. It has not moved servers containing its Russian users’ data to Russia, three years after a law was passed requiring the move gucci cufflinks replica uk sale.
In addition to stiffer fines, Russian authorities would retain the power to block companies’ online services under the new laws, according to the draft proposal seen by Reuters. The source in the industry lobby group said companies in the sector could accept higher fines if they were applied fairly and they replaced the practice of blocking sites. But he said firms would oppose rules that allow both fines and blocking. “But generally speaking anything that brings order to the system of blocking that has sporadically arisen at various times is an excellent idea,” the source said gucci cufflinks replica uk sale.