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Google fined $2.5 decillion by Russian court, amount exceeds global GDP
Google faces an unprecedented $2.5 decillion fine in Russia for blocking pro-Kremlin media accounts.
A Russian court has imposed an unprecedented fine of approximately $2.5 decillion, or two undecillion rubles, on Google for its refusal to reinstate the accounts of pro-Kremlin media outlets. This bizarre sum, calculated after a protracted four-year legal battle, far exceeds the global GDP, estimated by the World Bank at around $100 trillion.
The case
In 2020, Google-owned YouTube banned the ultra-nationalist Russian channel Tsargrad in response to US sanctions, sparking a significant legal battle. Now, 17 Russian media stations, including Zvezda, which is owned by Putin's Ministry of Defence, are suing Google for blocking their content. The court has imposed a daily fine of 100,000 rubles ($1,025) for this action, with the amount doubling every week, leading to an astronomical total that underscores the ongoing tensions between Russia and major Western tech firms.
Lawyer Ivan Morozov, speaking to state media TASS, explained that the court held Google accountable under Article 13.41 of the Administrative Offenses Code for removing channels from its platform. The court has mandated the company restore these channels, setting the daily fine at 100,000 rubles ($1,025), which doubles every week due to compound interest. The penalties could escalate indefinitely if not addressed within nine months.
"This case involves many, many zeros," remarked the presiding judge, highlighting the astonishing nature of the ruling. As of now, Google has reported quarterly revenues of $88 billion, a figure that underscores the surreal financial burden imposed by the court.
Google vs Russia
Despite the enormity of the fine, which many analysts deem uncollectible, the ruling highlights ongoing tensions between Russia and major Western tech companies. Google has largely ceased operations in Russia since 2022, citing governmental actions that included the seizure of its bank accounts. The company had more than 200 employees in Russia before transitioning many abroad or laying them off.
Legal experts predict a drawn-out battle in courts worldwide, as Russia attempts to seize Google's global assets. However, Alphabet, Google's parent company, remains confident. In its latest earnings statement, the company downplayed the potential impact of ongoing legal disputes, asserting they do not foresee any material adverse effects from these challenges.
As the situation develops, Google has yet to publicly comment on the court's ruling or its next steps in response to the astronomical fine.
