Microsoft announced Friday it will close all of its official stores and move its all retail operations online cloud computing, it will keep just four locations and transforming them into experience centers.
As per the trend Microsoft will continue to invest in its digital storefronts on Microsoft.com, and stores in Xbox and Windows. The new four locations that will become Microsoft Experience Centers are in London, New York, Sydney and at the company’s Redmond, Washington headquarters.
According to officials Retail team members will serve customers from Microsoft corporate facilities and it will providing remotely sales, training, and support and It will set aside $450 million to cover the costs of closing the locations. The number of employees who would be affected was not immediately available.
Microsoft Sales have grown online constantly as compared to offline store where physical stores exist.
In recent years all the tech gaint are moving to cloud computing and Microsoft is one of the top company who is using cloud computing. Microsoft prefer more online bussiness cloud computing as per the retail locations focusing on its Surface tablets and laptops as well as Xbox gaming gear. But the physical stores failed to gain the momentum of rival Apple as compared to online performance.
The impact of the pandemic has not yet been reflected in Microsoft’s financial results. It posted a net profit of $10.8 billion from January to March, up 22 percent year-on-year, on a turnover of $35 billion.