On Friday, Microsoft said it will close all of its physical stores and move its retail store to the online approach keeping just four locations and converting then into “experience centers.”
According to the statement, the move means that more than 80 Microsoft stores that were closed due to the coronavirus pandemic will not reopen as the tech giant entered a “new approach to retail.”
“Microsoft will proceed to invest in its digital storefronts on Microsoft.com, and stores in Xbox and Windows,” the statement said.
The four Microsoft Experience Center locations are in London, New York, Sydney, and its Redmond, Washington headquarters.
As per the company’s official statement, the company has decided that it will close the retail stores in London, NYC, Sydney, and Redmond campus locations then it will transform that store into “experience centers.
Microsoft also said that the retail team member will serve customers from the Microsoft corporate facilities and remotely providing sales, training, and support,” and it will set aside $450 million to cover the costs of closing the locations. The number of employees affected was not immediately known.
“Our sales have grown online as our product portfolio has evolved to largely digital offerings, and our talented team has proven success serving customers beyond any physical location,” said David Porter, Microsoft’s corporate vice president.
In recent years Microsoft has become more reliant on services such as cloud computing, with retailers focusing on Surface tablets and laptops and Xbox game gear. But the physical store couldn’t get the momentum of its rival Apple.