Microsoft to revamp Sydney store as other stores to shutter

Andrew Cummings
June 29, 2020

This mainly concerns stores in the United States, where Microsoft has the most physical stores.

Microsoft's hardware and software sales have continued to shift online as its product portfolio has evolved to digital products including Microsoft 365, gaming and entertainment, according to Porter.

Flagship Microsoft Stores in London, New York City, Sydney and Redmond will remain open, but as "reimagine [d] new spaces", Porter says.

But as anyone who ever wandered through a mall can tell you, Microsoft's stores lack one crucial aspect: customers.


Microsoft Corp.is exiting bricks-and-mortar retail after opening its first location more than a decade ago, as the tech giant focuses on bolstering its digital storefronts.

"This is a tough but smart strategic decision for (Chief Executive) Nadella & Co.to make at this point".

All physical Microsoft stores around the world will be closed permanently this year after 11 years of operation. They will showcase new technologies but will not sell anything.

Microsoft stock was trading at US$197.27 per share Friday afternoon, down US$3.07 or 1.53 percent.


Besides product sales, Microsoft's stores offered users a place to try out Windows-run PCs, Xbox consoles and various third-party computers and phones. Microsoft shut the doors of all retail stores on March 16 in response to the ongoing pandemic. Enterprise agreement software advisors are also typically authorized as LSPs and operate as resellers for Microsoft's other volume licensing programs.

"Speaking over 120 languages, their diversity reflects the many communities we serve", Microsoft Corporate Vice President David Porter said of the company's retail employees in a statement.

"Our team has proven success serving customers beyond any physical location", he added. "The evolution of our workforce ensured we could continue to serve customers of all sizes when they needed us most, working remotely these last months".

The company said it would record a pretax charge of about $450 million in the current quarter from the closures, primarily for asset write-offs and impairments.


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