Microsoft is winding down its direct operations in Pakistan after a 25-year presence, shifting to a partner-led model in the country, the company confirmed Friday. The U.S.-based tech giant will now serve Pakistani customers through resellers and regional offices, aligning with similar operational strategies used in other global markets.
In a statement to TechCrunch, Microsoft said that while the local office is closing, “our customer agreements and service will not be affected by this change.” The company emphasized it remains committed to maintaining service quality, with certified local partners continuing day-to-day operations.
The decision affects five employees, none of whom were part of engineering teams, according to sources familiar with the matter. Microsoft’s Pakistan staff primarily focused on commercial sales of cloud services and Office software, with licensing and contract management having already transitioned to its European hub in Ireland.
The move comes amid broader corporate restructuring. Microsoft laid off 4% of its global workforce this week—around 9,000 positions—citing a “workforce-optimization program.” Pakistan’s Ministry of Information and Broadcasting attributed the closure to these global changes and said it will continue engaging with Microsoft to ensure the company’s long-term support for local developers, customers, and partners.
The departure stands in contrast to other global tech players. Google, for example, has pledged greater investment in Pakistan, including a $10.5 million contribution to public education and potential Chromebook production plans. The shift also highlights Pakistan’s comparative struggles to become a regional engineering hub, unlike neighboring India. While local firms and Chinese companies such as Huawei dominate Pakistan’s tech infrastructure, global players have faced hurdles in scaling operations in the country.