New failure of Microsoft
The company run by Satya Nadella will close all its Microsoft Store after almost 10 years betting on a project that tried to compete with the Apple Store. It is not the first time that the software giant has to back down with a mammoth project. His commitment to Windows Phone and the subsequent purchase of Nokia was another true failure which also caused a major hole in the accounts of the company founded by Bill Gates.
As the company explained last week, the closure of all physical stores will cause losses of more than 450 million dollars. Small change for a company with more than a trillion euros of market capitalization but a jug of cold water for the employees who will lose their job. The company highlighted in a statement that it will continue to provide service to customers from its corporate headquarters and will also continue to provide remote support.
To make up for the absence of physical stores, Microsoft will use all its digital tools to provide customer service, for example “Teams” will be used to hold video conferences and virtual workshops.
Coronavirus as an excuse?
The Redmond company further explained that during the peak of COVID-19 infections thousands of workers made a transition to teleworking and online support during the time of confinement. On the other hand, online sales during that period were the definitive lace for all Microsoft Store
Microsoft keeps clicking on the hardware
The company continues to generate billions of dollars every quarter, but not precisely from the sales generated by its devices. In the field of video games, he has never been able to overshadow Sony, in mobile telephony we already know what happened with his failed foray with Windows Phone and in the field of computing, his Surface family has not been a panacea either. According to their latest results, Surface hardly improved 1% its income while other divisions like Bing are completely stagnant. The divisions that pull the cart are Azure and Office mainly, that is, the areas where Microsoft has always dominated.
All the other experiments have turned out to be a disaster. copy Google search engine or Apple strategy In mobile telephony it is very complicated due to the great economic capacity that a company can have.
Fines in Spain for not paying taxes
What does not seem to change in the Spanish subsidiary are the problems with the treasury, especially in times of “post-pandemic” crisis where the contribution of large companies is more important than ever. The subsidiary led by Pilar López Álvarez paid a new fine of 12 million euros to the Treasury and a few months ago he negotiated amicably with the treasury another fine of 18 million euros. The American company was able to multiply its benefits by ten in Spain and pay less taxes than in the previous year, a whole exercise in tax engineering that surely does not please customers who rigorously pay their licenses.