Microsoft Technology to Power Retailer’s 600-Plus Stores Nationwide

May 23, 2003 — Editor’s note: The quotation in the third paragraph below has been updated to correct an inadvertent error in the text as originally published.

REDMOND, Wash., May 19, 2003 — Microsoft Corp. today announced that Circuit City Stores Inc., one of America’s leading consumer electronics retailers, will deploy Microsoft®
technology in the new point-of-sale (POS) solution it is developing for Circuit City’s more than 600 retail stores in the United States. The decision to use Microsoft technology is part of Circuit City’s strategic initiative to implement a next-generation POS platform in all its retail locations.

After successfully piloting the new store architecture in select Circuit City stores during the peak holiday season, the Virginia-based retailer is rolling out Microsoft Windows®
XP Embedded, the componentized version of the leading desktop operating system customized for the retail industry, on its POS registers and will run a server platform of Microsoft SQL Server (TM) and Windows 2000 Server in each store.

“Our goal has been to implement a POS platform that helps us deliver better service to our customers while allowing our sales staff be more productive,”
said Dennis Bowman, CIO of Circuit City Stores Inc.
“With Microsoft, we are entering into a strategic relationship to accomplish that goal, and we were encouraged by Microsofts strong commitment to the retail industry. After actively evaluating other operating systems platforms, including Linux, we decided on a Windows-based solution as the best overall fit for our store environment, for its reliability, functionality, strong vendor support, and its ability to flexibly integrate with other key tools used by our store associates. Our new POS devices are intuitive and easy to use and will deliver vast amounts of Web-based and store-specific information to both associates and customers.”

“We are thrilled to be able to provide Circuit City with reliable, scalable technology to help it put in place a next-generation retail technology environment,”
said Brian Scott, general manager of the Retail and Hospitality Industry Solutions Group at Microsoft.
“We’re delivering a retail-hardened platform that, through its dependability and cross-channel integration, can help provide customers with a better experience on the retail floor and help retailers be more in tune with what their customers want. From this, we’re continuing to see a growing number of satisfied customers, with Microsoft .NET gaining ground as the preferred Web services platform.”

Microsoft .NET: Custom Offerings for the Retail Industry

Microsoft .NET offers a robust platform and state-of-the-art development tools that provide increased productivity, lower total cost of ownership, improved solutions and the flexibility to help companies connect, react and compete in a global marketplace. Together, Microsoft Windows XP Embedded, SQL Server and Windows Server create a unique, custom offering to meet Circuit City’s technology needs.

Windows XP Embedded combines the power Windows XP Professional with a rich set of retail-oriented features, including remote network boot functionality and the Device Update Agent to aid in deployment and management, dual-display support; a seven-year support life cycle, which customers can extend to 10 years; and componentization that allows retailers to deploy a smaller operating system image on less-costly hardware. Point-of-sale terminals based on Windows XP Embedded also utilize Microsoft’s investment in Windows XP Professional, which includes broad compatibility with applications developed for Windows desktops, enterprise-class networking and connectivity, and Web and multimedia technologies such as Microsoft Internet Explorer 6.0 and Windows Media®
.

SQL Server is a complete database and analysis offering for rapidly delivering the next generation of scalable e-commerce, line-of-business and data warehousing solutions. It utilizes advanced memory-addressing capability to support the rapid growth of mission-critical applications and data support demanded by enterprises today. The Windows Server family is the solution for running more-reliable and more-manageable file, print, intranet, communications and infrastructure services.

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

Microsoft, Windows and Windows Media are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

Note to editors: If you are interested in viewing additional information on Microsoft, please visit the Microsoft Web page at http://www.microsoft.com/presspass/ on Microsoft’s corporate information pages. Web links, telephone numbers and titles were correct at time of publication, but may since have changed. For additional assistance, journalists and analysts may contact Microsoft’s Rapid Response Team or other appropriate contacts listed at http://www.microsoft.com/presspass/contactpr.asp .

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