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The first foreign company is admitted to Russian state purchase of software

The first developer, included in the Unified register of Eurasian software, became the Belarussian company Intermech. The company creates soft for machine building industry and is the authorized developer of Autodesk. From this moment it can take part in Russian state purchase together with local companies.

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The application of developer was approved by the expert council on software under the Ministry of Digital Development, Communications and Mass Media of Russia (MinComSvyaz).

The representative of MinComSvyaz noted that there are few companies, ready to be the pathfinder in such things – they prefer to watch the results of other initiatives firstly. However he thinks that there will be a lot of applications to be included in the register as the market of state purchase of Russia is the biggest in the Eurasian Economic Union (EAEU), including also software.

Experts from RBK also thinks that the launch of register will open the market to companies from the Eurasian Economic Union, which is much bigger than their inner market, so there will be many applications. The additional competition will be created to Russian developers, waiting for the similar return gesture from countries-participants of EAEU.

The representative from Intermech noted that the company has a lot of Russian customers, including the state sector, that’s why the developer is interested in removing the legislative barriers when work with them. Also he thinks that including products of Intermech in the united software register of EAEU may attract new customers.

The launch of the Unified register of Eurasian software was announced in April 2019. Including software developers from EAEU countries in the new register will give them the new opportunity to participate in Russian state purchase on the same conditions as Russian companies. Konstantin Noskov, Director of MinComSvyaz, said that this is a multibillion dollar market. In 2018 the total volume of IT budgets of Russian state authorities was 122.215 billion rubles.

The Eurasian Economic Union itself was created in May 2014, today it includes, except Russia, Armenia, Belorussia, Kazakhstan and Kirghizia. Among potential candidates are Iran, Mongolia, Syria, Tadzhikistan, Tunisia, Turkey, Turkmenistan and Uzbekistan.

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Topics: Market Insights & Overview