By 2024, public sector spending on Russian software is projected to grow to 650 billion rubles or more, marking a 3.4x increase compared with the previous three years. Meanwhile, domestic software accounts for about 80% of all IT expenditures among public entities, according to Kommersant reports.
Looking at the 43 state‑owned organizations that route data through their systems, total IT solution spend from 2021 to 2024 is expected to surpass 934 billion rubles, with roughly 650 billion of that allocated to Russian software products and services.
The shift toward domestic solutions is largely tied to Western sanctions that have pushed many multinational vendors out of the Russian market. Since spring 2022, demand for Russian software within government agencies and large enterprises has surged, rising by as much as threefold in certain segments.
Dmitry Sorokin, who leads the development of domestic IT solutions at Softline, notes especially strong interest from financial institutions and the energy sector. In these industries, demand for Russian software has expanded significantly, with growth realized across multiple product classes in a relatively short period.
In early April, Prime Minister Mikhail Mishustin called on local developers to assemble a robust alternative to Western app stores. Maria Orlova, the chief executive of Technofabrika, indicated that building a Russian analogue to Google Play would require hundreds of millions of rubles in investment, underlining the scale of the undertaking while signaling government support for enabling homegrown platforms.