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Splunk stops selling to Russian organisations

Splunk stops selling to Russian organisations

Both directly and through channel partners

Credit: Dreamstime

Data analytics software vendor Splunk has announced it will stop selling software and services to organisations in Russia, including through partners.

On its blog, the vendor focused on software for searching, monitoring and analysing machine-generated big data, said the decision is part of the company's ongoing evaluation especially over where it invests and focuses its resources.

This decision extends to "opportunities with technical partners, resellers, distributors and vendors". The decision also applies to business with subsidiaries based in countries outside of Russia whose parent company is in Russia, or who would use the software or services within the territory.

The vendor said it will continue to offer support for ongoing contracts of its products and services but it will no longer expand or renew any contracts.

Splunk will continue to evaluate our global investments - focusing our global resources to ensure the greatest return on investment for the business, and the greatest success for our customers," Splunk wrote in a blog post.

As reported by Computerworld, the vendor appears to have already removed details of Russian companies including VolgaBlob, TS Solution and ZAO NIP Informzaschita from its Splunk Partner Directory.

In its third quarter report from October 2018, the company said it believes that in order to remain competitive at the large enterprise level, it will need to develop and expand relationships with resellers and large system integrators that provide a broad range of products and services. 

"If we are unable to compete effectively, our business operations and financial results could be materially and adversely affected."

The company works directly and with distributors and resellers which license, provide professional services and support of Splunk software.

"We derive a portion of our revenues from sales of our offerings through our channel partners, particularly in the Europe, Middle East and Africa, or EMEA, and Asia Pacific, or APAC, regions and for sales to government agencies," a company statement read.

"We expect that sales through channel partners in all regions will continue to grow as a portion of our revenues for the foreseeable future.

"As changes in our channel strategy are implemented, including potentially emphasising partner-sourced transactions, results from sales through our channel partners may be adversely affected."

Splunk is currently holding its annual conference in Orlando, US, where it formalised plans to enter the internet of things (IoT) space with Splunk Industrial IoT.


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