Microsoft told staff at its Africa Development Centre in Nairobi on Monday that the engineering hub will close, employees told CIO Africa.
Microsoft has not confirmed that. A spokesperson described “proposed changes” tied to global restructuring that affect the engineering department in Kenya, according to Techweez. The company will keep operating in the country, the spokesperson said. CIO Africa reported that the company neither confirmed nor denied the closure.
The scale remains unclear. Nearly 400 jobs are at risk, Weetracker reported. Microsoft has not given a headcount, an end date or details on what happens to staff, according to Techweez. Crisp NG reported that sources expect fewer than 10 employees to remain.
What Microsoft Built in Nairobi
Microsoft announced the centre in May 2019 with sites in Nairobi and Lagos and a planned $100 million over five years. At launch it aimed to hire 100 engineers by year-end and reach 500 across both sites by 2023, according to Khusoko.
The centre hit that scale. By December 2022, Microsoft had more than 500 engineers in Nairobi and more than 200 in Lagos, Citizen Digital reported.
The Nairobi team built core Microsoft products rather than serving local customers. The centre’s own site lists teams on identity, Microsoft 365, Windows and devices, security and developer tools, Techweez reported. The same Westlands building houses Microsoft Research Africa and the Microsoft Garage. Their fate is unclear.
Lagos Closed First and a Data Centre Stalled
Microsoft shut its Lagos centre in May 2024. A spokesperson said at the time that the company would keep operating in Nigeria, according to Citizen Digital. Microsoft said Nairobi was unaffected, The Kenyan Wallstreet noted, and Techpoint Africa reported that some Lagos engineers were relocating to Kenya.
Two weeks later, Microsoft and Abu Dhabi’s G42 announced a $1 billion package for Kenya, centred on a geothermal-powered data centre at Olkaria. Under the plan, ADC engineers would mentor startups, according to The Kenyan Wallstreet.
The data centre has not been built. Weetracker reported that talks broke down in May over Kenya’s reluctance to commit to fixed annual capacity payments. Kenyans.co.ke cited disagreements over power supply and financial guarantees. The Kenyan Wallstreet found no public evidence linking the stalled project to the closure.
Global cuts add context. Microsoft cut about 4,800 jobs in July, roughly 2.1% of its workforce, mostly in sales and Xbox, Techweez reported. The memo behind the cuts told engineering teams to reshape their priorities and warned of more changes.
Kenya’s Tech Hub Pitch Takes a Hit
Kenya’s government moved fast. Information and Digital Economy Cabinet Secretary William Kabogo met a Microsoft delegation on the same Monday, according to Techweez. Jeff Bullwinkel, a vice president and deputy general counsel, led the group, which included East Africa lead Angela Ng’ang’a.
Kabogo said he urged Microsoft to keep local talent, protect jobs and sustain investor confidence. He said Microsoft reaffirmed its long-term commitment to Kenya. Both sides will draft a joint action plan covering AI in government, digital public services, cybersecurity, infrastructure and skills.
His statement gave no job numbers. Nothing public shows whether the closure news prompted the meeting.
The timing stings. Nairobi has spent the year courting global tech, including the AI Everything Kenya x GITEX Kenya expo, which TechMoonshot reported was set for May 2026. The city also anchors East Africa’s startup scene. Kenya and Nigeria each supplied four of the 12 ventures in an Africa Tech Summit Nairobi investment showcase, TechMoonshot reported.
There is an upside. Several hundred experienced engineers may now seek work, and local startups could hire talent they struggled to land before, according to Techweez. Affording them is another matter. Deal counts fell by roughly 40% in the first half of 2026, according to TechMoonshot Insights.
Watch four things now: the headcount, the exit timeline, the terms offered to staff and the fate of Microsoft Research Africa and the Garage. The Kenyan Wallstreet also flagged formal redundancy notices to the Labour Commissioner as a marker. Until Microsoft speaks plainly, the clearest account of the Microsoft Africa Development Centre’s fate belongs to the engineers who sat in Monday’s meeting.
