Microsoft to Keep Its Retail Stores in China

(Source: GizChina)

Microsoft Corp. said Sunday that it will keep its retail stores in China and continue normal operations in the Chinese market, according to TechWeb.

The company announced Friday that it will permanently close all its physical stores including 72 in the US and six in Australia, Canada, Puerto Rico and the UK, a move to shift Microsoft’s focus to its online sales in the future.

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“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 Microsoft Corporate VP David Porter. “We are grateful to our Microsoft Store customers and we look forward to continuing to serve them online and with our retail sales team at Microsoft corporate locations.”

Microsoft had ramped up its retail business over the past decade. It has closed its retail stores since late March due to the COVID-19 pandemic. The company said the retail team has helped small businesses and education customers digitally transform through remote sales, software training and other support services.

The company stated it will keep operating Microsoft Experience Centers in London, New York, Sydney, and Redmond campus locations.

The closure of physical stores is expected to result in a pre-tax charge of approximately $450 million. Microsoft said it did not plan to lay off employees.