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	<title>Market Matador &#187; starbucks</title>
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		<title>Partnership Between Starbucks And Apple Continues</title>
		<link>http://www.marketmatador.com/2009/07/30/partnership-between-starbucks-and-apple-continues/</link>
		<comments>http://www.marketmatador.com/2009/07/30/partnership-between-starbucks-and-apple-continues/#comments</comments>
		<pubDate>Thu, 30 Jul 2009 20:21:20 +0000</pubDate>
		<dc:creator>admin</dc:creator>
				<category><![CDATA[Everything Else]]></category>
		<category><![CDATA[Apple (AAPL)]]></category>
		<category><![CDATA[starbucks]]></category>

		<guid isPermaLink="false">http://www.marketmatador.com/?p=601</guid>
		<description><![CDATA[A few years back, Starbucks founder and CEO Howard Schultz sat in on one of Steve Jobs' keynote speeches, presaging a vital computer/caffeine partnership. 
It wasn't long before those little iTunes download cards starting showing up on the Starbucks counter, and iTunes was featuring a specially designated iTunes + Starbucks feature. iTunes cards often feature music [...]]]></description>
			<content:encoded><![CDATA[<p><em style="font-style: italic;"><strong>A few years back, Starbucks founder and CEO </strong><a href="http://en.wikipedia.org/wiki/Howard_Schultz" target="_blank"><strong>Howard Schultz</strong></a><strong> sat in on one of Steve Jobs' keynote speeches, presaging a vital computer/caffeine partnership</strong></em><strong>. </strong></p>
<p>It wasn't long before those little iTunes download cards starting showing up on the Starbucks counter, and iTunes was featuring a specially designated <a href="http://phobos.apple.com/WebObjects/MZStore.woa/wa/viewGrouping?id=41" target="_blank">iTunes + Starbucks</a> feature. iTunes cards often feature music of the month and the download cards are for a full album. It's saved a vast amount of space and made the search for music an entirely different experience. The larger the selection of iTunes cards, the more Starbucks will seem less like a coffee shop and more like a record store of the past. But that's not the end of the story; it becomes even further intertwined when a third party comes into the mix.</p>
<p>Around the time of the launch of the first generation iPhone, Apple decided upon AT&amp;T to provide wireless service. It was highly publicized that Apple was looking for a company that would allow them to get royalties off monthly cell phone payments on the iPhone. As we all know, Apple priced the iPhone at $599, with no savings by signing on for two years. Without a doubt, Verizon Wireless missed the boat here when they declined the opportunity to work with Apple, citing that they could make a phone of their own, without having to pay third party royalties. And so it evolved that Apple and AT&amp;T teamed up to provide service for the iPhone.</p>
<p>Perspective consumers were dismayed when discovering that the device would be running on AT&amp;T's slower "EDGE" network, known for having notoriously abysmal data service. Add into the equation that <a href="http://en.wikipedia.org/wiki/3G" target="_blank">3G technology</a> was already working and delivering close to Wi-Fi speeds. In preparation for the major launch of the original iPhone, AT&amp;T prepared their EDGE network lines and markedly boosted speeds. Without a doubt, these preparations were all tailored for the iPhone.</p>
<p>Eventually, AT&amp;T's CEO (and rumors around the blogosphere) acknowledged the development of Apple's next iPhone: the iPhone 3G. AT&amp;T delivered again, by upgrading the EDGE network to 3G. Apple was now ready to release the iPhone 3G on the network.</p>
<p>Right before the announcement of the new iPhone 3G on June 9th, Starbucks was in hot water with T-Mobile, which <a href="http://blogs.pcworld.com/staffblog/archives/007099.html" target="_blank">initiated a lawsuit</a> as a result of Starbucks' sudden jilting of T-Mobile, in preference for AT&amp;T. Starbucks was preparing to have iPhone/iPod Touch + Starbucks content and music ready for their Wi-Fi consumers. And who does Schultz choose for cafe wireless? None other than AT&amp;T. The new AT&amp;T wireless internet at Starbucks allows 2 hours of free internet when connected to a <a href="https://www.starbucks.com/card/default.asp?cookie%5Ftest=1" target="_blank">Starbucks Rewards</a> registered card account. Registration is free, and has made a trip to Starbucks even more appealing.</p>
<p>There have already been a number of rumors about iPhone users receiving unlimited free Wi-Fi service inside every Starbucks. Now more than ever, the probability of the two products working in tandem seems a given. Apple, AT&amp;T, and Starbucks are collaborating so closely these days that one can envision these three companies developing an even closer partnership to serve their niche consumers.</p>
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