Microsoft Downsizes China Operations, Closing 15+ Branch Offices
Microsoft has closed at least 15 branch offices and joint ventures in China over the past five years, accelerating in 2026, and is moving most Surface and Xbox hardware production and data center server manufacturing out of China. It also shut all authorized mainland retail stores in 2024, shifting to online and third-party partners, while China was 1.5% of global revenue in 2024.