RSS
Starbucks Adds AT&T WiFi; Now You've Got A Choice
from the would-you-like-the-tall-or-the-vente-wifi? dept
For many years, Starbucks has provided a huge footprint for fee-based WiFi from T-Mobile (originally Mobilestar). While many, many others had determined that it made more sense to offer free WiFi in coffee shops and other places to attract users, Starbucks stuck by the relatively expensive T-Mobile WiFi offering. The deal was apparently somewhat (though not fantastically) profitable for both companies, which is why they never seemed to budge from it, even as the idea of fee-based WiFi lost a lot of its luster. However, it looks like things are finally shaking up a bit. Starbucks has now announced that it's also adding AT&T's hotspot offering to its stores, which is a pretty big deal, since AT&T offers access to its WiFi hotspots for free to most DSL customers. Prior to this, most of AT&T's hotspots were found in McDonalds -- so adding Starbucks is a big win.
It's interesting to note, however, that Starbucks hasn't dumped T-Mobile, it's just added AT&T. It's not clear if this means that Starbucks will be installing separate WiFi equipment for both services, but given the recent deal between Apple and Starbucks to let iPhone users access iTunes via WiFi for free, you had to figure that the company was going to be changing some of its WiFi backend equipment. Also given AT&T's iPhone connection, it shouldn't be a huge surprise that AT&T was a part of the new Starbucks offering. The other interesting bit is that for non-subscribers, the AT&T WiFi will be noticeably cheaper in one-off use than T-Mobile's -- meaning even if T-Mobile hasn't been "dumped" it may have just lost many one-time users. If anything, this may continue to push Starbucks to move closer and closer to finally giving up the paid solution and offering WiFi for free -- just as many Starbucks managers have been begging the company to do for years.
It's interesting to note, however, that Starbucks hasn't dumped T-Mobile, it's just added AT&T. It's not clear if this means that Starbucks will be installing separate WiFi equipment for both services, but given the recent deal between Apple and Starbucks to let iPhone users access iTunes via WiFi for free, you had to figure that the company was going to be changing some of its WiFi backend equipment. Also given AT&T's iPhone connection, it shouldn't be a huge surprise that AT&T was a part of the new Starbucks offering. The other interesting bit is that for non-subscribers, the AT&T WiFi will be noticeably cheaper in one-off use than T-Mobile's -- meaning even if T-Mobile hasn't been "dumped" it may have just lost many one-time users. If anything, this may continue to push Starbucks to move closer and closer to finally giving up the paid solution and offering WiFi for free -- just as many Starbucks managers have been begging the company to do for years.
I have an app...
Developer Census: Be Counted. It takes less than two minutes.
How My First Game Made $28,623
I have a business...
The Talent Wars: Today's Toughest Startup Challenge
The Future Of Commerce Will Combine Your Social Network And Mobile Device
I’m looking for research...
Why Data Is The New Oil, With Dan Foreman Of Lumi Mobile
Innovate More. Code Less: Optimizing Open-Source Utilization
Reader Comments (rss)
(Flattened / Threaded)
Starbucks Adds AT&T WiFi;
[ reply to this | link to this | view in thread ]
wireless central
[ reply to this | link to this | view in thread ]
Re: Starbucks Adds AT&T WiFi;
[ reply to this | link to this | view in thread ]
It is nice to see that Starbucks is starting to explore some new (for them, anyway) avenues regarding access. Ideally, it would be free, but this is a start.
[ reply to this | link to this | view in thread ]
what a rip-off
What a racket. There are plenty of free wi-fi's out there. Thanks Starbucks for allowing us to pay for the priviledge of accessing your internet while overpaying for coffee. Brilliant!
[ reply to this | link to this | view in thread ]
I think it's actually more of a deal between Apple and Starbucks than it is between AT&T and Starbucks. If Apple's wireless carrier for the iPhone was, say, Verizon, then it would be Verizon going into Starbucks, not AT&T. Because Apple chose one of the worst wireless carriers out there (at least speed-wise), everybody else is forced to play along with it if they want to get along with Apple.
[ reply to this | link to this | view in thread ]
Re: what a rip-off
[ reply to this | link to this | view in thread ]
They have got to have the biggest balls in the wor
I'll just stick to the local coffee shops around & get a REAL cup of espresso & free WiFi.
[ reply to this | link to this | view in thread ]
[ reply to this | link to this | view in thread ]
It makes sense, really
[ reply to this | link to this | view in thread ]
Old news
[ reply to this | link to this | view in thread ]
Starbucks charges for internet?
That's the first and only time I've ever been to a Starbucks, so maybe this is a relatively recent phenomenon. Or maybe the network was unintentionally open...
[ reply to this | link to this | view in thread ]
Re: Starbucks charges for internet? yep
[ reply to this | link to this | view in thread ]
Story's gotten around
T-Mobile was charging too much for hotspot access. The deal was about this, but also, crucially, about iTunes and the iPhone, which a previous poster pointed out. Also, stories have been making their way around:
Anyone with a Starbucks gift card gets 2 free hours per day of access (I'm assuming you have to actually buy something at Starbucks to get access. There will probably be an access code printed on the receipt).
Anyone with AT&T DSL can access Starbucks hotspots with their at&t id and password (yeah, I want to send that over the air and compromise my home network, as well).
T-Mobile users will be "grandfathered" in, either at the old price or for free.
AFAIK, all of these hotspot vendors have an initial splash screen where you are forced to provide authentication in order to jump on their network. If you didn't get that, then you probably hopped onto someone else's network. You just happened to be sitting in Starbucks at the time.
I don't know what the pricing model for this will be. It seems like a no-brainer to lower the price and get more people in the door, but maybe Starbucks isn't hurting for foot traffic. The Apple angle makes more sense.
Paying for Wifi always seemed like a sucker's game to me. If anyone can set up a HotSpot, it would only be a matter of time before someone offered free WiFi in range of your paying customers. Thus Panera vs. Starbucks.
What per hour or per day connectivity prices do is drive higher-end customers toward data usage on their mobiles. Therefore AT&T and Verizon can charge more to people using their HSDPA or EDGE networks.
Maybe the real solution is to prevent telecoms companies (who have access to licensed spectrum) from owning or operating Wifi nodes (unlicensed spectrum). The simplest solution would be to just stay away from Starbucks.
[ reply to this | link to this | view in thread ]
[ reply to this | link to this | view in thread ]
Finally!
I never realized that McDonalds has AT&T WiFi or I would have dropped in. But Starbucks is my first choice, since they are so ubiquitous .... I can get both fixes filled at the same time.
Smart decision Starbucks!
[ reply to this | link to this | view in thread ]
Add Your Comment