Microsoft’s Nairobi Tech Hub Faces Closure
Kenya’s ambition to become a leading technology hub in Africa faces an uncomfortable test as Microsoft reportedly moves to shut down its Nairobi-based Africa Development Centre (ADC), raising questions about the future of local tech jobs and the country’s ability to retain major technology investments.
Microsoft’s Nairobi-based Africa Development Centre is reportedly facing closure, with staff informed that their jobs are at risk .
The development would mark a significant shift for Kenya’s technology sector, given the centre’s role in Microsoft’s African engineering operations. The reported decision has raised concerns about the stability of technology jobs and the future of major investments in the country’s digital economy.
The reported closure comes amid a wider restructuring at Microsoft, which has affected employees across several parts of its global operations. The company has not publicly specified how many workers in Nairobi will lose their jobs or when the proposed changes will take effect.
The Africa Development Centre was launched in Nairobi and Lagos in 2019, with Microsoft announcing plans to invest more than $100 million in the two facilities over five years and recruit hundreds of engineers. The Lagos centre was closed in 2024, making the reported developments in Nairobi a further setback for Microsoft’s dedicated engineering presence on the continent.
The situation has also drawn the attention of Kenya’s government. Information, Communications and the Digital Economy Cabinet Secretary William Kabogo met Microsoft representatives and said he had emphasised the need to protect local jobs, retain Kenyan talent and sustain investor confidence.
Microsoft, however, has maintained that it will continue operating in Kenya and supporting customers across the region. Its statement described the changes as part of a global restructuring affecting the Kenyan engineering department but did not explicitly confirm the complete closure of the Nairobi centre.
The uncertainty leaves questions over the future of the engineers affected, the country’s efforts to attract major technology companies and the long-term prospects of Kenya’s ambition to become a regional technology powerhouse.