Meta, the parent company of Facebook, Instagram, and WhatsApp, is reducing its office space in Lagos following global layoffs in mid-2023, which affected its Nigerian team. The layoffs impacted at least 35 employees, including the entire engineering team of 24 members. This reduction has led Meta to renegotiate its tenancy agreement for its office in the 15-story Kings Tower building in Ikoyi, Lagos, aiming to reduce office space.

Key Points:

• Global Layoffs: Meta's global layoffs in mid-2023 affected at least 35 Nigerian employees.
• Office Space Reduction: Meta is renegotiating its office space in Kings Tower, which costs $800/sqm/year.
• Continued Commitment: Despite the downsizing, Meta continues to invest in Nigeria, with plans to offer monetization to creators in Q3 2024.
• Regional Operations: Engineers will continue to serve the region from Meta’s global hubs outside Nigeria.
• Comparative Changes: Similar operational changes are noted in other tech giants like Microsoft, which also made significant cuts in Nigeria.

Highlights:

• Meta's Lagos office opened in 2022 but now faces reductions due to the recent layoffs.
• Nick Clegg, Meta’s President of Global Affairs, recently highlighted the importance of Nigerian creators during his visit in March 2024.
• Despite a user base of 43 million in Nigeria, it is unclear if this has translated into substantial revenue growth for Meta.

Meta's decision, while not a complete withdrawal, indicates a strategic shift in how it manages its operations and office space in Nigeria amidst broader economic challenges and restructuring efforts.

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