Microsoft Shuts Down Office in Pakistan, Lays Off Staff Amid Global Restructuring

Islamabad: Global tech giant Microsoft has officially announced the closure of its operations in Pakistan, laying off all local employees as part of a broader global restructuring effort.
According to media reports, the company has ceased its direct operations in the country, affecting its small team of five employees and closing its representative office.
A Microsoft spokesperson confirmed the development, stating, “We will continue to serve our customers in Pakistan through our regional offices and local partners. This model has been successfully implemented in several other countries.”
The move aligns with Microsoft’s global shift towards cloud-based services and Artificial Intelligence (AI). In this transition, the company is moving away from on-premises software deployments to a Software-as-a-Service (SaaS) model.
This decision also comes amid Microsoft’s ongoing global layoffs. In May, the company announced it would lay off 6,000 employees. On Wednesday, it revealed plans to cut 4% of its 228,000-strong workforce.
Microsoft says it aims to streamline operations with fewer administrators and enhance its products, processes, and roles to adapt to the AI era.
The Ministry of Information Technology and Telecommunication of Pakistan acknowledged the development, noting that many global tech firms are shifting towards remote service delivery models and cloud-based platforms.
Jawaad Rahman, who established Microsoft’s presence in Pakistan in 2000, shared the news on LinkedIn, stating that the company has formally ended its operations in the country and informed the remaining staff.
Despite the office closure, Microsoft services will remain available to Pakistani customers through regional hubs and partnerships.