This archive report was first published on 27 June 2020.
On June 26, 2020, Microsoft revealed plans to close all its retail stores and transition its retail operations online, retaining only four locations as 'experience centers'. The move comes after the company's retail stores were forced to close due to the coronavirus pandemic.
Microsoft will continue to invest in its digital storefronts on Microsoft.com, as well as stores in Xbox and Windows. The company will also set aside $450 million to cover the costs of closing the locations.
The four experience centers will be located in London, New York, Sydney, and at Microsoft's Redmond, Washington headquarters. Retail team members will provide sales, training, and support from Microsoft corporate facilities and remotely.
According to Microsoft corporate vice president David Porter, the company's sales have grown online as its product portfolio has evolved to largely digital offerings. Porter noted that the company's talented team has proven success serving customers beyond any physical location.
Independent technology analyst Neil Cybart attributed the closures to the Surface business losing momentum in the consumer space.
