After Microsoft has layed off about half of its workforce in Nigeria, the company has gone further to downsize it’s office space at the King’s Tower building in Ikoyi from six floors to two. This just shows a major cut down in Nigerian operations. According to a well-placed source, Microsoft is considering not extending its lease agreement in 2025, which could lead to a complete exit from the Kings Tower building in Ikoyi.
Microsoft stated, “Organizational and workforce adjustments are a necessary and regular part of managing our business.” The company reaffirmed its dedication to supporting Africa’s economic growth and advancement, saying, “As we navigate these changes, Microsoft remains steadfast in our commitment to Africa’s growth and development.”
The Microsoft’s sales team which was not badly affected by layoffs will occupy the only two floors left for the next year. The engineering team in Nigeria was affected the most after the company closed its Africa Development Centre (ADC) in Lagos. Those layoffs took place during May and July of this year. Insider information states that the engineers left have been asked to relocate to Kenya to join the team for new projects.
“While we have made the difficult decision to close the Africa Development Centre in Nigeria, we want to emphasize that this move does not diminish our commitment to Nigeria and the region,” a spokesperson for Microsoft said.
“We will continue to operate in Nigeria, actively supporting the country’s transformation objectives. Our investment in key growth areas remains unwavering, and we are determined to contribute to Africa’s progress by providing digital solutions, fostering innovation, and empowering local talent.”
Olatomiwa Williams, the company’s Nigerian MD met with Finance Minister Wale Edun after the closure of the ADC in June to pass a similar information.
Nigeria is concerned after Microsoft invested $1 billion in geothermal data centers in Kenya, following a previous significant investment, making Kenya a leading destination for foreign direct investment (FDI) in the region.
