Microsoft to shut Nairobi engineering centre, putting hundreds of jobs at risk

Microsoft to shut Nairobi engineering centre, putting hundreds of jobs at risk

Nearly 400 engineers at Microsoft's Africa Development Centre in Nairobi's Westlands district were called into a meeting on Monday morning and told to schedule one-on-one sessions with their managers by Friday, October 16, to discuss exit packages. The centre, housed in Dunhill Towers, has been a cornerstone of Microsoft's African ambitions since its launch, built on the idea that engineers on the continent could build products for global markets without relocating.

The closure unwinds a seven-year commitment that began when Microsoft pledged more than $100 million to develop African tech talent and position Nairobi as one of its key engineering hubs outside the United States. Two employees, speaking anonymously to TechCabal, said the mood among staff is resigned. "Our case is sealed; we just didn't know when," one of them said.

Microsoft's official response stopped short of confirming the shutdown. "We are communicating directly with employees in Kenya about proposed changes to our engineering operations," a company spokesperson told TechCabal. "Microsoft remains committed to Kenya and will continue to have employees in the country while supporting the country's ongoing digital transformation and innovation ambitions." The statement gave no timeline and no headcount figures.

A person familiar with the matter told TechCabal that fewer than 10 employees are expected to stay on. Those would include staff in sales and recruiting, two employees in Microsoft Customer and Partner Solutions, and a small team working on AI for Good, Microsoft's initiative applying artificial intelligence to social and environmental challenges.

For a city that has spent years positioning itself as Africa's leading tech hub, the question now is what this signals for other multinationals weighing similar bets on the continent.

Originally published by TechCabal.

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