In a move that could significantly impact Nigeria’s burgeoning tech industry, Microsoft is considering shutting down its African Development Centre in Lagos.
The potential closure would put over 200 jobs at risk and have far-reaching implications for innovation in the sector.
According to sources, Microsoft informed staff of the planned closure on Monday, with affected employees set to receive salary payments until June and continued health insurance coverage. However, a Microsoft spokesperson declined to confirm or deny the reports.
While the exact reasons behind the decision are unclear, Nigeria’s challenging economic conditions are likely a contributing factor. Notably, the closure would only affect the West Africa operations in Nigeria, with the East Africa facility in Nairobi, Kenya, seemingly unaffected.
Microsoft launched its $100 million African Development Centers initiative in 2019, with the Lagos centre employing over 120 engineers at its inception and growing to a team of over 200.
The facility aimed to develop innovative solutions to address challenges across Africa and globally, with plans to recruit 500 engineers by 2023 – a goal it had already exceeded.
The potential closure would be a significant setback for Nigeria’s tech industry and innovation landscape.