Retail Stores Planned

A former Wal-Mart executive will help Microsoft open an unspecified number of Microsoft-branded retail stores. The move could help Microsoft counter market-share growth by Apple and give it a venue to demonstrate its growing portfolio of consumer products. In addition, several of Microsoft’s retail partners have gone out of business, leaving Microsoft with fewer places to display and sell its products. Although Microsoft has not explained what products the stores will carry, OEMs should consider the Velocity program, which defined requirements for PCs to appear in Windows displays in retail partner stores, a likely template for inclusion.

New VP Will Oversee Strategy

In Feb. 2009, Microsoft announced that it had hired David Porter, who spent 25 years at Wal-Mart before joining DreamWorks Animation in 2007, as corporate vice president of retail stores. As part of the release announcing Porter’s appointment, the company acknowledged that it will open its own retail stores; the company’s only previous foray into retail was a single store in San Francisco, which shut down in 2001 after two years in business. Because Porter will be responsible for defining the company’s retail strategy, Microsoft had no further details to offer about the stores, including timing, the number of stores planned, or the products that will be sold. However, a company spokesperson acknowledged they are unlikely to be open in time for the release of Windows 7, which is expected by the end of 2009.