Starbucks Corp. is teaming up with AT&T Inc. and will start offering a mix of free and paid wireless Internet service in many of its U.S. coffee shops, beginning this spring.
The world’s largest specialty coffee retailer’s move ends a six-year partnership with T-Mobile, which did not include free Wi-Fi and charged more than the new AT&T service will cost.
Starbucks said Monday it will give customers that use its Starbucks purchase card two hours of free wireless access per day. After that, it will cost US$3.99 for a two-hour session. Monthly memberships will cost $19.99 and include access to any of AT&T’s 70,000 hot spots worldwide.
Nearly all of AT&T’s broadband Internet customers will automatically have unlimited free Wi-Fi access at Starbucks.
Chris Bruzzo, Starbucks’ chief technology officer, would not disclose how many customers use the T-Mobile service in Starbucks stores, but said he expects many more will use the new service. Starbucks will begin rolling it out this spring and aims to have it available in its more than 7,000 company-operated domestic stores by the end of the year.
Asked if problems with quality and service reliability were factors in Starbucks’ decision to part with T-Mobile, Bruzzo said no.
“Starbucks was at a place where we were evaluating who our right go-forward partners should be, and as we looked at who could provide that in the best possible way, AT&T continuously came back to the front,” Bruzzo said.
Last month, AT&T announced plans to make its 10,000 Wi-Fi hotspots free to nearly all of its broadband Internet customers.