Starbucks to Expand Technology Relationship with AT&T

Agreement Signals a Transition to AT&T Wi-Fi Service at Starbucks Beginning in Spring 2008

SEATTLE--(BUSINESS WIRE)--Starbucks Corporation (NASDAQ:SBUX) today announced a new comprehensive communications agreement with AT&T that will enhance the enterprise networking capabilities for Starbucks by streamlining business operations and enhancing the customer experience. With this announcement, AT&T, which has provided Starbucks with network connectivity for point of sale and other store operating systems for more than 10 years, will offer consumer Wi-Fi service in more than 7,000 Starbucks locations in the U.S. beginning in spring of 2008.

“As we continue to build upon our digital entertainment platform, our expanded partnership with AT&T will permit us to deliver a compelling in-store entertainment experience for Starbucks customers as well as AT&T’s customers”

“Now more than ever, Starbucks is focused on the in-store experience for our customers,” said Chris Bruzzo, chief technology officer, Starbucks. “As we continue to build our technology offerings in ways that both enhance and expand the Starbucks Experience for our customers, we made a strategic decision to expand our existing relationship with our longtime technology partner AT&T to include consumer Wi-Fi.”

In recognition of the many T-Mobile customers who enjoy visiting Starbucks, the Company is also announcing that T-Mobile HotSpot customers will be able to continue to access Wi-Fi services at no additional cost, through an agreement between AT&T and T-Mobile.

“As we continue to build upon our digital entertainment platform, our expanded partnership with AT&T will permit us to deliver a compelling in-store entertainment experience for Starbucks customers as well as AT&T’s customers,” said Ken Lombard, president, Starbucks Entertainment.

“We are committed to connecting people to their worlds wherever they live and work,” said Rick Welday, AT&T’s Chief Marketing Officer—Consumer. “For our more than 120 million customers, this is just another way we deliver their world of communications and entertainment – all from the comfort of Starbucks.”

Customer Wi-Fi services from AT&T will be rolled-out to Starbucks locations in the U.S. on a market-by-market basis beginning in the spring of 2008. Starbucks will work with AT&T to create a range of compelling Wi-Fi pricing structures for Starbucks and AT&T customers.

About Starbucks

Starbucks Coffee Company provides an uplifting experience that enriches people’s lives one moment, one human being, one extraordinary cup of coffee at a time. To share in the experience, visit www.starbucks.com.