Russian small businesses are feeling the pinch of President Vladimir Putin's widening internet crackdown, with restrictions on popular messenger apps and VPNs disrupting operations and threatening billions in digital sales. Dogwear entrepreneur Natalia Kukovinets constantly switches messaging apps to reach customers, highlighting the struggles faced by web-dependent enterprises.
Impact on Small Businesses
Unpredictable outages of services like Telegram, which has been vital since Instagram was restricted in 2022 and WhatsApp in February, pose a particular headache for small companies. Kukovinets, who runs Wag'n Tails from her Moscow workshop, relies on Telegram for client communication. "It has become harder to track incoming requests. It does not work without a VPN turned on, and notifications often do not come through," she said.
According to state news agency Interfax, around 2.9 million small-to-medium-sized firms and 14.1 million self-employed individuals rely on messaging apps for business. The economic impact is significant, with digital platform sales totalling 11.5 trillion roubles ($153.74 billion) in 2025, as reported by the Association of Internet Trade Companies.
Restaurant and Real Estate Woes
Moscow restaurant Skrepka faced a glitch in April linked to restrictions, leaving it unable to process online orders for traditional iced Easter cakes. Manager Daria Teterina said, "Telegram was down, so the customers started shouting. It was a reputational loss." Similarly, Anton Belykh, who runs real estate firm DNA Realty, noted delays in receiving messages, causing inconvenience and lost revenue for clients.
The Kremlin has rejected criticism that the measures represent a return to Soviet-era information control, calling them temporary and essential for security. However, over two-thirds of Russians believe the restrictions have made life more difficult, according to a March survey by independent pollster Levada.
Future of Messaging Apps
Despite promoting a state-backed messenger called MAX, the authorities are unlikely to restore normal access to messaging apps soon. They are also pursuing a criminal case against Telegram's founder. Belykh said only 2-3 per cent of his clients use MAX, while Kukovinets and Teterina plan to continue using Telegram when possible. "There is a risk that not all our customers would be ready to move to platforms that are currently allowed. So we made the decision to stay with Telegram," Kukovinets explained.
