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Microsoft Reportedly Shuts Nairobi Engineering Hub, Putting 400 Jobs at Risk

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Microsoft is reported to be closing its Africa Development Centre in Nairobi. Employees say staff were told on Monday, 12 October 2026, that their jobs are going. Microsoft has acknowledged that its global restructuring has affected its engineering department in Kenya, but it has not publicly confirmed that the whole centre will shut. It has also given no headcount or timeline.

What Staff Were Told

According to people at the centre, employees were informed that the hub is closing. Reports put its workforce at roughly 400, and one account says fewer than 10 people could remain once the changes take effect. Microsoft’s own language is more cautious. It refers to proposed changes that have affected the Kenyan engineering team.

The company has not said how many jobs are at risk, when the closure would take effect, or whether any engineers will be moved to other teams or locations.

Government Steps In

Kenya’s Cabinet Secretary for Information, Communications and the Digital Economy, William Kabogo, met a Microsoft delegation on the same day staff were reportedly told. He said he raised concerns about protecting jobs, keeping local tech talent in the country and sustaining investor confidence. The meeting also covered cooperation on artificial intelligence, cybersecurity and digital infrastructure. Nothing public from it resolved the uncertainty around the centre.

Why It Matters for Kenya’s Tech Ambitions

The Nairobi team worked on products used worldwide, including Microsoft 365, identity systems, Windows and devices, security tools and developer tools. It was widely seen as Kenya’s largest in-country engineering team building a global software product, which made it a centrepiece of the country’s pitch as an African tech hub.

The centre had also met its original hiring goal, so the closure is hard to explain as a failure to deliver on its promise. No public evidence links it directly to Microsoft’s wider cost-cutting, though a remote engineering centre can come under pressure in any restructuring.

There is a possible upside. Hundreds of experienced engineers could enter the job market, and local startups and established firms have long struggled to find senior talent.

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