Search engine giant Google says it will no longer sell its Nexus One smartphone through its web store.
Instead, it will sell the device through retail outlets.
In a post on its official blog, Google said the web store, which opened in January this year, had not lived up to its hopes.
Google Engineering vice-president Andy Rubin said in a blog post that the web store had "remained a niche channel for early adopters".
Mr Rubin added: "It's clear that many customers like a hands-on experience before buying a phone."
The move is being seen as a turnaround in Google's strategy, which was intended to bypass network providers and their outlets which traditionally sell mobile devices.
BGC Financial analyst Colin Gillis said: "They clearly have retreated from the model of sort of revolutionizing the method in which we acquire our smartphones."
Laptop Magazine called it a "lesson learned".
The phone will still be available online for a short period, just until Google gets the Nexus One physically into traditional retail stores.
It is a slim, touchscreen phone built in partnership with Taiwanese manufacturer HTC and it runs Google's Android operating system.
The Nexus One is seen as a move to ensure Google remains relevant as people search the web using mobile phones rather than typing queries into a PC.
Google makes the lion's share of its revenue by selling adverts linked to those queries.