Microsoft shuts shop in Pakistan after 25 years amid instability, security concerns

Global tech giant Microsoft has decided to shut down its operations in Pakistan after 25 years of operating in the country. The announcement came after the company went on to lay off 9,000 employees. In light of this, Pakistan’s former President Arif Alvi argued that the closure indicates that Pakistan is now spiralling into a whirlpool of uncertainty.

He went on to add that there is increasing joblessness, talent migration, and a reduction in purchasing power in the country. “Pakistan now spirals into a whirlpool of uncertainty. There is increasing joblessness, our talent is migrating abroad, purchasing power has reduced, economic recovery in the ‘awami’ context feels like a distant & elusive dream," said Arif Alvi in a post on X.

He emphasised that Microsoft’s decision to shut down operations in Pakistan is a “troubling sign" for the country’s economic future. The former president went on to link the move to the regime change in Pakistan.

“Microsoft’s decision to shut down operations in Pakistan is a troubling sign for our economic future. I vividly recall February 2022, when Bill Gates visited my office. On behalf of the people of Pakistan, I had the honour of conferring the Hilal-e-Imtiaz on him for his remarkable contributions to polio eradication in our country," he added.

Alvi recalls his meeting with Bill Gates

In his stern remarks on X, the former Pakistani president recalled his conversation with Microsoft founder Bill Gates. Alvi said they sat on the lawn outside his office and discussed numerous topics like AI, Quantum computing, gut microbiomes, longevity, and more.

“During our discussion, I asked him directly, ‘Why isn’t Microsoft investing in Pakistan?’ He leaned in, sharing in confidence that he had just spoken with PM Imran Khan and arranged a call between the PM and Microsoft CEO Satya Nadella. In a hushed tone, he asked me to keep it quiet, revealing that “all is set and within two months, the PM and I will announce a major Microsoft investment in Pakistan," Alvi wrote.

However, he mentioned that soon after the meeting, things went downhill, and regime change upended those plans. “By October 2022, Microsoft chose Vietnam for its expansion, a decision in which they had initially favoured Pakistan. The opportunity was lost,” he added.

Meanwhile, Jawwad Rehman, who set up and led Microsoft’s Pakistan unit, shared the news in a post on LinkedIn.