Peapod Sells Its SF Customers To Webvan

from the not-a-good-sign dept

It can't be a good sign when you find it necessary to sell a bunch of your customers to your biggest competitor. However, that's exactly what Peapod has done, as they've stopped doing business in San Francisco, and are pointing current customers to Webvan. Webvan will pay Peapod an undisclosed (meaning minimal) amount for each Peapod customer that actually buys stuff through them. Of course, since both companies are struggling, and likely to run out of money in the coming months, I guess there's no reason to kill each other with pointless competition.

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