Nairobi — Microsoft plans to close part of its Africa Development Centre (ADC) in Nairobi as it reorganises its engineering operations, with the company currently informing affected employees of the proposed changes.

The technology firm confirmed the plans to Capital FM Business, saying it was communicating directly with employees in Kenya.

"We are communicating directly with employees in Kenya about proposed changes to our engineering operations. We recognize the uncertainty this brings and are keeping those discussions private," a Microsoft spokesperson said.

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"Microsoft remains committed to Kenya and will continue to have employees in the country while supporting the country's ongoing digital transformation and innovation ambitions."

Microsoft opened the Nairobi-based ADC in 2019 as an engineering hub for software development, design, research and innovation in East Africa.

The centre also housed Microsoft Garage, an incubation hub for technology innovation.

By 2022, the centre had grown to more than 450 full-time employees working in software engineering, machine learning, data science, market research and infrastructure, among other areas.

The planned changes come amid restructuring by multinational companies operating in Kenya.

In December 2024, consumer goods company Procter & Gamble exited the Kenyan market, resulting in more than 850 job losses. The company cited operating costs, currency fluctuations and declining sales.

GlaxoSmithKline also ended its direct operations in Kenya after about 60 years, while banknote printer De La Rue reduced its Kenyan workforce by 40 percent.