Apple Banks on Physical Stores as Economies Reopen

Apple logo is seen on the Apple store at The Marche Saint Germain in Paris, France July 15, 2020. REUTERS/Gonzalo Fuentes/File Photo
Apple logo is seen on the Apple store at The Marche Saint Germain in Paris, France July 15, 2020. REUTERS/Gonzalo Fuentes/File Photo
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Apple Banks on Physical Stores as Economies Reopen

Apple logo is seen on the Apple store at The Marche Saint Germain in Paris, France July 15, 2020. REUTERS/Gonzalo Fuentes/File Photo
Apple logo is seen on the Apple store at The Marche Saint Germain in Paris, France July 15, 2020. REUTERS/Gonzalo Fuentes/File Photo

Apple Inc is expanding retail operations as the United States emerges from the pandemic, betting that a combination of strategies developed before and during COVID-19 will make its stores more popular than ever, its retail chief told Reuters.

Apple is doing this as the retail industry works out what the post-pandemic future will look like, including consumers who have become used to ordering almost everything online.

For Apple, the answer is keeping what helped it through the pandemic, and doubling down on its pre-pandemic strategy of in-store events and experiences beyond shopping.

The express counters that popped up to help customers more efficiently pick up online orders, for example, will become regular features of Apple's 500-plus stores around the world, all of which have reopened as of June 14.

The iPhone maker is also adding a new "Creative Studios" program, starting in Los Angeles and Beijing, that aims to teach young people from underrepresented communities to use Apple products to create music, films and photography. That adds to a broader array of classes based out of the stores designed to bring in customers in contact with Apple more frequently.

"We're looking at this moment right now as a way to really begin again, and begin again in every way," Deirdre O'Brien,

Apple's senior vice president of retail and people, told Reuters as the company prepared on Thursday to open a new store at the renovated Tower Theater in downtown Los Angeles, Apple's second new US retail outlet since the beginning of the pandemic.

Apple boomed during the pandemic, hitting $2 trillion in market capitalization in August 2020 and setting records for sales of iPhones and several other categories.

One of the retail-related weak spots in its financial results, analysts said, was a slowdown in sales of AppleCare, a device insurance plan that is often an upsell during a store visit but easier for consumers to skip online. Apple also experienced supply chain missteps over the past year, delivering its iPhone 12 later than usual last year and saying in April that the global semiconductor shortage would cost it several billion dollars in sales.



China Smartphone Sales Drop 13% During 618 Festival as Memory Costs Limit Discounts

A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)
A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)
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China Smartphone Sales Drop 13% During 618 Festival as Memory Costs Limit Discounts

A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)
A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)

Smartphone sales in China fell 13% year-on-year during the month-long 618 shopping festival, as brands raised prices to offset higher memory costs, according to data from Counterpoint Research.

Sales declined from May 26 to June 21, with all major Chinese brands except Huawei posting double-digit drops as fewer promotions compared to last year weighed on demand. Honor sales dropped 33%, while Xiaomi's fell 24%.

Higher memory prices amid a rapid ‌build-out of ‌AI infrastructure have pushed up handset costs this year, leaving brands ‌with ⁠less room to ⁠offer steep discounts during the 618 festival, seen as a barometer for the country's booming e-commerce sector.

"Some older and newer models from Chinese smartphone brands were priced higher than comparable models a year earlier, while discounts during this year's 618 festival were generally less aggressive, both in terms of the size of price cuts and the range of products covered," said Ivan Lam, senior analyst at Counterpoint Research.

"Apple's prices ⁠were broadly unchanged, but its discounts were also smaller."

Huawei Technologies ‌led the market with a 21% share, ‌and was the only major brand to record year-on-year growth during the 618 period, with ‌sales rising 19%.

Its Enjoy 90 Pro Max was its best-selling model. ‌The Mate 80 also performed well, supported by promotions.

Apple's sales fell 9% from a year earlier, although the US tech giant climbed to the No. 2 spot after rolling out incentives about a month ahead of June 18.

The discounts offered savings of up ‌to 2,000 yuan ($295) on the iPhone 17 Pro series through a mix of official price cuts, platform subsidies and trade-in ⁠deals.

Still, Apple's sales ⁠remained lower than a year earlier, partly because promotions for the iPhone 16 series were more aggressive during the same period last year.

The 618 festival, which began as a one-day event marking JD.com's founding on June 18, 1998, has since grown into a month-long sales campaign, with major e-commerce platforms competing for consumer spending.

In recent years, however, China's biggest shopping festivals have struggled to generate their former buzz, as extended discount periods and weak consumer sentiment have curbed appetite for non-essential spending, even at reduced prices.

Counterpoint said the 618 festival helped smartphone sales recover in June from the previous month. But it added that the market was likely to enter a seasonal slowdown afterward and post a double-digit decline in shipments for the year.


Microsoft Announces 4,800 Job Cuts as it Revamps Xbox

FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa
FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa
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Microsoft Announces 4,800 Job Cuts as it Revamps Xbox

FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa
FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa

Microsoft said Monday it was eliminating about 4,800 jobs -- roughly two percent of its global workforce -- in a sweeping restructuring concentrated in its Xbox gaming divisions, AFP reported.

The cuts include the deepest overhaul in Xbox's history, with approximately 3,200 gaming jobs to be shed over the coming fiscal year, four game studios being spun off or sold, and a fifth entering a review process that could lead to closure, the company said.


UN Chief Warns AI is Developing Faster than Rules Can Keep Up

United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)
United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)
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UN Chief Warns AI is Developing Faster than Rules Can Keep Up

United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)
United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)

The United Nations secretary general on Monday warned that AI is developing faster than anyone can keep up, ‌urging the ‌need for ‌globally ⁠harmonized rules to reduce ⁠potential risks - especially to children, Reuters said.

"A technology that can reshape ⁠economies, transform the world ‌of ‌work, sway ‌elections and tilt ‌the balance of security is being deployed faster than ‌anyone – including the people building it – ⁠can ⁠keep up," Antonio Guterres told delegates at the first-ever government-level global dialogue on AI in Geneva.