Several global technology companies are increasingly viewing Nigeria as a strategic hub for their African expansion, particularly in the West African sub-region.

American tech giant Microsoft has decided to reduce its presence in Nigeria. According to a Techcabal article published on Friday, July 19, "Microsoft will reduce its office space at the Kings Tower building in Ikoyi from six floors to two, suggesting a scaleback in its Nigerian operations."

This decision follows a wave of layoffs in its engineering team in May and July 2024. Additionally, Microsoft has announced the closure of its African Development Center, which was inaugurated in March 2022 in Lagos. The center aimed to develop technological and engineering solutions for Africa and the world.

"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," Microsoft explained.

The reduction of Microsoft's activities in Nigeria can be attributed to the economic instability in the country, marked by the depreciation of the local currency and the accelerating rise in prices. Many companies operating in the country are reorganizing their presence to cope with this economic climate.

Meta, the parent company of Facebook and WhatsApp, is following a similar path. After laying off about thirty employees from its Nigerian team, the Menlo Park firm indicated it is reassessing its office spaces to ensure they meet the company's needs.

Adoni Conrad Quenum