Microsoft confirmed on Tuesday 13 October that it is restructuring its engineering operations in Kenya, after informing staff at its Africa Development Centre in Nairobi of proposed changes whose scale and timing have not yet been made public.
The US group told Capital FM that it is in direct contact with the employees concerned and recognises the uncertainty created by the plan. It said it would keep employees in Kenya and continue to support its customers and the country's digital ambitions.
Several Kenyan technology outlets, including CIO Africa, report that teams were told on Monday 12 October that engineering operations would be closed. Microsoft has not, however, confirmed the closure of the entire centre, nor has it specified the number of positions affected, the teams targeted or possible transfer options.
This distinction remains decisive for gauging the economic impact of the decision. The centre had exceeded 450 full-time employees in 2022, according to figures published when its Dunhill Towers premises opened, but this historical figure does not establish the current headcount or the number of job cuts being considered.
Kenya's Cabinet Secretary for Information, Communications and the Digital Economy, William Kabogo, met on Monday a Microsoft delegation led by Jeff Bullwinkel, vice president for legal and public affairs for Europe, the Middle East and Africa.
William Kabogo said he had asked the group to preserve local skills, protect jobs at the engineering centre and maintain investor confidence in Kenya's technology sector. The government and Microsoft must also draw up a joint work plan covering artificial intelligence, digital public services, cybersecurity, infrastructure and training.
Established in Nairobi in 2019, the Africa Development Centre brings together software development, machine learning, data science, research and incubation activities. Microsoft's website continues to present the facility as its main engineering hub on the continent, and it hosts Microsoft Research Africa as well as the Garage innovation programme.
The number of jobs at risk and the future of Microsoft Research Africa and the Garage programme are not known. Without this information, the direct effect of the restructuring on skilled employment and Nairobi's technology ecosystem cannot yet be measured.