Google Plans To Shut Engineering Office In Russia : Reports

(RTTNews) - Google Inc. (GOOG) intends to shut its engineering office in Russia after the government cracked down on Internet freedoms and ahead of a new law governing data-handling practices by Internet companies, according to reports.

Google reportedly plans to keep a larger group of employees in Russia to focus on areas such as sales, business partnerships, user support, marketing and communications.

A new law that takes effect next year requires information on Russian citizens to be stored in data centers in Russia. The law will also penalize Web firms for infringing on personal data rules in the country.

Another law passed earlier this year requires bloggers with 3,000 or more daily readers to register with the government and provide their home address. The ruling prevents these bloggers from using foul language and forbids them from spreading false information.