Page 100 - RusRPTMay19

9.1.7 TMT sector news
Russia's internet companies account for about 4% of Russian GDP,
according to the estimates of the first deputy head of the presidential office Sergey Kiriyenko. "In Russia, the share of Internet companies is already about 4% of GDP, this share will grow rapidly, since the Internet economy zone is growing several times faster than any other spheres," he said, as cited by Tass on April 8. Speaking of the regulation of the internet sector, Kiriyenko noted that all large foreign companies entering the Russian market must undertake not to break competition, while the government has to "support our companies and protect them". As reported this week by bne IntelliNews, the Chinese AliExpress e-commerce major will open its global platform for Russian vendors. The potential upside for Russian online sales abroad is huge, as Russia's online exports of goods could reach $10bn in 3-7 years, according to the estimates of eBay Russia and Emerging Europe cited by Prime on March 28. The potential upside for Russian online sales abroad is huge, as Russia's online exports of goods could reach $10bn in 3-7 years, according to the estimates of eBay Russia and Emerging Europe cited by Prime on March 28.
The Duma adopted a new Runet law that will legally enter force on November 1 this year, mandating that internet providers install equipment to track traffic and block sites under the direct authority of Roskomnadzor. The bill hands Roskomnadzor a great deal more power to actually enforce rules on Runet, and centralizes policy power in its hands that can be used to affect the shape of the market for providers and operators. Roskomnadzor clearly learned from its ill-fated campaign to block Telegram that it needed new policy mandates and powers. This change will likely aid oligopolistic business practices on the market, and be used to crack down further on political speech deemed dangerous on security grounds as the regime tumbles towards 2024. Russia's e-centralization seems set to continue apace as the state looks to expand its surveillance powers by collecting more consumer data on everything it can. The bill passed after 20 minutes of debate, with 320 deputies
100 RUSSIA Country Report May 2019 www.intellinews.com