Starbucks Bets on In-House Tech, to Shutter 250 Stores
Starbucks plans to open a technology hub in Chennai, India, in fiscal year 2027, gradually bringing work currently performed by third-party service providers in-house to gain more direct control over technology. Separately, as part of its Back to Starbucks plan, the company will close 250 locations in North America this week, about 1% of its more than 18,000 North American coffeehouses. Starbucks said it carefully reviewed its North America portfolio and identified locations where it cannot consistently deliver the desired experience for customers and partners or where it sees no path to acceptable financial performance. More than 1,000 coffeehouses across the U.S. and Canada have been rede…
Impact and considerations
For business-travel and hospitality readers, this reflects a major chain's strategic choice between building and buying technology, and its use of portfolio optimization to improve store-level experience and financial performance, which may affect vendor relationships and site-selection strategies.
Key points
- Starbucks plans to open a technology hub in Chennai, India, in fiscal year 2027 to support its global business and work closely with technology and business teams in the U.S. and across the company.
- The company said it will gradually bring more work currently performed by third-party service providers in-house to strengthen capabilities and talent, without disclosing headcount, specific software solutions, or exact vendor transitions.
- As part of its Back to Starbucks plan, Starbucks will close 250 locations in North America this week, about 1% of its more than 18,000 North American coffeehouses.
- COO Mike Grams said the closures are locations where the company cannot consistently deliver the desired experience or sees no path to acceptable financial performance.
- More than 1,000 Starbucks coffeehouses across the U.S. and Canada have been redesigned with softer seating, textures, artwork, greenery, and local design touches.
- Starbucks has a global footprint of more than 41,000 company-operated and licensed coffeehouses and a growing presence in consumer-packaged goods.
Sources and time
- Primary source
- Hospitality Technology
- Other sources
- 0
- First source publication
- 25 Sept 2026, 02:28
- Page published
- 25 Sept 2026, 03:24
- Last updated
- 25 Sept 2026, 02:28
- Original links
- Hospitality Technology：Starbucks Bets Big on In-House Tech, to Shutter 250 Stores (opens in a new tab)Primary source · en · Published 25 Sept 2026, 02:28