Microsoft to close Nairobi Engineering Centre in global restructuring

Microsoft to close Nairobi Engineering Centre in global restructuring
Microsoft is closing its Africa Development Centre (ADC) in Nairobi, ending its engineering operations in Kenya as part of a global restructuring that has raised concerns over local jobs and the country’s technology investment climate.
Employees were informed of the decision on Monday, October 12, 2026, with the changes affecting the engineering department at the Nairobi facility.
The move follows the closure of Microsoft’s Africa Development Centre in Lagos, Nigeria, in 2024, marking a further reduction of the company’s dedicated engineering operations on the continent.
However, Microsoft has indicated that it will continue operating in Kenya and supporting its customers despite the changes affecting its engineering workforce.
The announcement came on the same day Information, Communications and the Digital Economy Cabinet Secretary William Kabogo met a Microsoft delegation led by Jeff Bullwinkel, the company’s Vice President and Deputy General Counsel for Corporate, External and Legal Affairs in Europe, the Middle East and Africa.
The delegation also included the Microsoft East Africa team led by Angela Ng’ang’a.
In a statement following the meeting, Kabogo said he raised concerns about retaining local talent, protecting jobs at Microsoft’s Nairobi engineering centre and sustaining investor confidence in Kenya’s technology sector.
“I stressed the importance of retaining local talent, protecting jobs at Microsoft’s Nairobi engineering centre and sustaining investor confidence in Kenya’s technology sector,” Kabogo said.
He added that the government remained committed to providing a competitive and transparent environment for investors.
Government, Microsoft to develop joint action plan
Despite the restructuring, discussions between the government and Microsoft focused on expanding cooperation in artificial intelligence, digital government services, cybersecurity and digital skills development.
Kabogo said the two sides discussed the adoption of artificial intelligence in government, the digitisation of public services, digital infrastructure and skills development through universities and other institutions.
They also explored Microsoft’s support for the development of Kenya’s National AI Policy and the country’s wider innovation ecosystem.
The Ministry of Information, Communications and the Digital Economy and Microsoft are expected to develop a joint action plan to advance the areas discussed during the meeting.
Microsoft reaffirmed its long-term commitment to Kenya, according to Kabogo, although the future of the Nairobi engineering workforce remains a key concern following the announced closure.
The restructuring comes at a critical time for Kenya as it seeks to position itself as a regional technology hub, attract investment in digital infrastructure and expand opportunities for locally trained software engineers.
The extent of the job losses and the timeline for winding down the Nairobi engineering operations were not immediately provided.
