February 11th, 2008
Starbucks goes with AT&T for WiFi; T-Mobile subscribers will still get access
Starbucks said it will begin offering Wi-Fi access in its 7,000 stores via AT&T ending a long relationship with T-Mobile. Under another pact, subscribers to T-Mobile will still have access to AT&T’s network.
Today Starbucks customers need a paid account to T-Mobile to get WiFi access. Starting in the spring, Starbucks will use AT&T for access in a deal that gives customers two free hours of access a day with subscription services after that. T-Mobile subscribers will still get access under a deal with AT&T.
The AT&T deal with Starbucks (Techmeme and statement) has a lot of subtext. Among the notable items:
- AT&T is looking to gain more customers. AT&T is tossing in Starbucks access if you are a customer of its television, broadband, Internet and wireless services;
- Starbucks wants more repeat customers and sign-ups for its Starbucks Card, which is what you’ll need to use the Wi-Fi access for free;
- Apple plays a role here too. Apple and Starbucks are partnering on iTunes music purchases.
Under the terms of the Starbucks deal, a Starbucks Card holder will get two hours of access for free. After that it’s $3.99 per session. A monthly membership will run $19.99 a month. The rollout begins this sprint and will be completed by the end of 2008.
However, the Starbucks WiFi deal was just an add-on for AT&T. Separately, Starbucks said that it will use AT&T’s network services for its point of sale and store operating systems.
AT&T had already operated Starbucks point of sale and other store systems.
Larry Dignan is Editor in Chief of ZDNet and Editorial Director of ZDNet sister site TechRepublic. See his full profile and disclosure of his industry affiliations.
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