Compaq to equip coffee shops

Starbucks stores will soon offer high-speed internet access

Compaq Computer Corp and the Starbucks coffee chain have announced a five year, $100m deal, where the PC giant will provide high-speed wireless internet access in Starbucks cafes.

From Summer 2001, Starbucks customers in North American stores will be able to sip a latte or capuccino and surf the internet on handheld or laptop computers.

This is a perfect marriage

Howard Schultz, chairman Starbucks

By 2002, the plan will be extended to nearly three quarters of the more than 4,000 Starbucks stores worldwide.

"This is a perfect marriage," said Starbucks' chairman Howard Schultz.

"Despite the fact we're in very different businesses, we're in the same business ... to try as much as possible to enhance the experience of our customers' lives," he added.

'Not a cybercafe'

The computer giant, the world's number two, said it would be supplying Starbucks with iPAQs, its popular handheld computer.

Customers of the coffee chain will be able to hook up to the web through a local network picked up through the airwaves in each store.

"You'll also be able to access your email, access your calendar and while you're doing that you can put on a pair of headphones on and listen to some great music," said Compaq's chief executive Michael Capellas.

But Starbucks' head Howard Schultz was keen to emphasise that Starbucks stores will not become cybercafes.

"It will be nothing like a cybercafe," he said.