While I was in Barcelona attending Mobile World Congress, Starbucks launched big news about how it was dropping T-Mobile’s HotSpot service and selecting AT&T to provide WiFi service. As a HotSpot subscriber, I was a bit worried since it was an inexpensive add-on to my T-Mobile plan for my Dash. For a long time, T-Mobile’s HotSpot deal was the only game in town and it worked well. The shock to the system is that T-Mobile is already struggling to get its act together for 3G and just trying to keep its monthly subscriber base growing and now this.
“Today’s announcement regarding the Starbucks Wi-Fi operations will not impact T-Mobile HotSpot customers’ ability to use Wi-Fi services at Starbucks locations for years to come. In fact, the Wi-Fi network operations transition will not begin for several months. Even after the transition, T-Mobile HotSpot customers will continue to enjoy Wi-Fi access at Starbucks locations for at least the next five years under a roaming agreement between T-Mobile USA and AT&T. There will be no additional charge for T-Mobile HotSpot customers at Starbucks associated with this transition.
Source: T-Mobile HotSpot
Well, after reading that bit of news, it’s good to know that I can keep using my existing account until my 2 year plan runs out. As I am also an AT&T subscriber, I am curious to find out what options I can have to get a competitive plan that can be bundled into my other services.
Here also shows the timeline for the transition plan:
Q: Should I cancel my T-Mobile HotSpot account because I mainly use it at Starbucks?
A: Before, during, and after the transition, you can continue to use your T-Mobile HotSpot account at Starbucks at no additional charge. T-Mobile will transition network operations to AT&T on a market by market basis starting this spring [2008] and ending in early 2009. We plan to continue to expand our HotSpot footprint with new and existing venue partners to provide even more places where T-Mobile HotSpot can access our Wi-Fi services.Source: T-Mobile HotSpot
I guess it’s the same kind of sharing when T-Mobile first started and was sharing infrastructure with, then Cingular.
Q: Why did Starbucks enter into a partnership with AT&T?
A: According to Starbucks, it is has made a new communications services agreement with AT&T. Under this agreement, Starbucks is streamlining all its communications services under a single provider. This includes all its store operating systems, as well as Wi-Fi services. However, you will be able to use your T-Mobile HotSpot account at Starbucks for years to come.Source: T-Mobile HotSpot
Well, this certainly makes sense. Triple play for consumers is heavily being pushed, why not for the enterpise? And on “home turf” in the US, AT&T can certainly undercut T-Mobile with other services. The question is for Starbucks in Europe, will T-Mobile still have a foothold? That is their “home turf” to offer that same type of services like AT&T can.
