Tech Desk 
Jul 04, 2025
An image of Microsoft logo at its office near Paris, March 25, 2024. —Reuters
Microsoft's Office and cloud services in Pakistan have officially ended operations after almost 25 years. The tech giant has many users among businesses and individuals for its software and cloud tools.
While Microsoft never operated a full office, they operated a liaison arrangement in the Pakistan market, working with local partners, local government departments, local schools, and enterprise customers.
The closure is all part of a Microsoft global downsizing strategy. This week, the tech company laid off about 9,100 employees, representing roughly 4% of its employee count.
There are reports that Microsoft is migrating many of its operations to European hubs, like the licensing and contracts for countries like Pakistan that are managed from Ireland.
This news has raised concerns among Pakistan's tech and business community. Former President Dr Arif Alvi posted on X (formerly Twitter) that Microsoft's exit demonstrates missed opportunities for investment, adding that the company's founder, Bill Gates, had plans in place for major development in Pakistan.
"But after the regime change, that expansion was cancelled, and they chose Vietnam,” he tweeted.
For Microsoft's first country manager in Pakistan, Jawwad Rehman, who posted on LinkedIn that this was "more than just an exit of a corporation" and is a serious indication of the current environment of a country that finds it difficult to stay.
Microsoft’s revenue from Pakistan was reportedly very small, less than 0.02% of its global earnings. The company had already reduced staff and relied heavily on certified local partners for customer services.
While Microsoft has pulled back, the Ministry of IT clarified that this isn’t a complete withdrawal. “The company is moving toward a cloud-based, partner-led model,” it said, adding that the government is in talks to ensure long-term cooperation continues.
