The Ministry of Information Technology and Telecommunication has dismissed recent reports by Indian media claiming that Microsoft has closed its operations in Pakistan, calling them false, misleading, and part of a recurring pattern of anti-Pakistan propaganda.

In a statement issued on Saturday, the ministry clarified that Microsoft never had a permanent office in Pakistan. Instead, the global tech giant has been operating a liaison office in the country, while its licensing and commercial operations for Pakistan have long been managed from Ireland, in line with the company's global policy.

“Microsoft has not closed any office in Pakistan. The Indian media's claim is baseless. The shift related to the liaison office is part of the company's global ‘Workforce Optimization Program,’” the statement read.

The ministry emphasized that the company’s engagement with Pakistan remains intact and ongoing, with no change in its level of commitment. “We are in constant contact with Microsoft and other international tech companies. There is no indication that the company is pulling out of Pakistan or scaling down its operations,” the ministry added.

On July 4, it was reported that tech giant Microsoft has officially ended its operations in Pakistan after maintaining a presence in the country for more than 25 years. The decision was said to be part of the company's broader global restructuring and workforce optimization strategy.

In a statement to TechCrunch, a Microsoft spokesperson confirmed that the company is shifting its operational model in Pakistan. Moving forward, Microsoft will serve Pakistani customers through resellers and nearby regional offices.

“Our customer agreements and service will not be affected by this change,” the spokesperson said. “We follow this model successfully in a number of other countries around the world. Our customers remain our top priority and can expect the same high level of service going forward."

According to reports, the closure affects five Microsoft employees in Pakistan. The company had no engineering resources in the country, unlike India and other countries, and its local team primarily handled the sales of products like Azure and Office.

Microsoft recently announced a 4% reduction in its global workforce — approximately 9,000 jobs — as part of its ongoing restructuring efforts.

The ministry noted that Microsoft had already shifted the licensing and commercial contract management for Pakistan to its European hub in Ireland over the past few years. Day-to-day services were being managed by certified local partners.

“We continue to engage with Microsoft’s regional and global leadership to ensure that these changes strengthen, rather than weaken, the company’s long-term commitment to Pakistani customers, developers, and channel partners,” the ministry said.

The company’s departure comes at a time when the Pakistani government has announced plans to offer IT certifications from companies like Google and Microsoft to half a million youth — a goal that now appears complicated by Microsoft’s withdrawal.

In contrast, Google continues to invest in Pakistan’s digital future, having pledged $10.5 million to the public education sector last year. The company is also exploring plans to manufacture half a million Chromebooks in Pakistan by 2026.