Microsoft Nails Deal With Radio Shack, Launches Smart Retailing Initiative

Windows

At the National Retail Federation Show in New York, the Redmond, Wash.-based software giant announced customer wins with Radio Shack and Circuit City and launched a Smart Retailing Initiative with 20 key partners. The initiative is designed to give retailers new tools and a framework for developing next generation shopping, selling and operational solutions, Microsoft said.

Radio Shack has deployed Windows XP Embedded in 5,000 stores and plans to have 21,000 systems up and running by year's end. The solution was developed by the retailer and Microsoft Consulting Services and integrated by Dell and HP into 8,000 cash lanes over a 12-week period, Microsoft said.

Microsoft's SRI platform, built on XML and Web service standards as well as IX Retail, RFID, OPOS and UCCNet standards, was backed by 20 systems integrators, including Accenture, Cap Gemini Ernst and Young, CRS Retail Systems, Manhattan Associates and Trax Retail Solutions, Microsoft said.

Microsoft and Accenture, for instance, announced the availability of several radio frequency identification-based (RFID) technologies that enable retailers to improve their operational efficiencies, inventory tracking and ability sell to customers.

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One observer said IBM had hoped to establish Linux as the de facto platform for retail systems but Microsoft's Windows XP Embedded has made strides while the open-source system has floundered in the retail space.

"Most of the point-of-sale stuff was slated to be Linux, and most wins have been Microsoft," said Rob Enderle, owner of The Enderle Group, San Jose, Calif. "Two years ago, many expected the retail market to go to Linux, but the market seems to have defaulted on Microsoft."

IBM has used Red Hat's distribution for its Linux-based retail systems but last week announced that it has selected SUSE Linux to become the de facto standard Linux distribution for its future systems.

IBM Retail Environment for SUSE Linux, which is also being touted at the show in New York this week, will be available during the first half of 2004, an IBM spokesman said.