T-Mobile has sour grapes cries foul over Starbucks new wireless deal

by James

Claiming that Starbucks has breached its contract regarding interim Wireless coverage until AT&T’s service is fully implemented, T-Mobile is filing suit against both Starbucks and AT&T. The legal action is due to Starbuck’s current practice of offering the T-Mobile service, which can cost up to $10 a day and $20 a month, for free while the AT&T wireless service is implemented to over 7,000 Starbucks locations across the USA.

T-Mobile’s position is that the interim agreement granted them exclusive rights to wireless service in all Starbucks locations until the AT&T transition was complete. But as of today, only two Starbucks in the country actually have AT&T service. According to T-Mobile, the rest of the 7,000 Starbucks are giving TMobile’s wireless bandwidth away for free.

“Since T-mobile provides the resources and equipment to support Wi-Fi service in non-transitioned stores, it is T-Mobile alone that is bearing the cost and burden associated with this “free” Wi-Fi offer,” states the lawsuit. T-Mobile is demanding an injunction to prevent the Starbucks AT&T deal from moving forward and reimbursement for the costs and damages as a result of the Starbucks wireless policy that has impacted T-Mobile’s bottom line.

Hat tip – Digital Trends

2 reviews or comments

Neagle Says: June 9, 2008 at 10:08 pm

Screw the overpriced, burnt coffee merchant for trying to profit on providing Wi-Fi access at it’s stores in the first place. Drink local!

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