Starbucks Will Invest $25 Million into Square POS

Sections: Business News, Gadgets / Other, Web Apps

submit to reddit

Square, an iOS and Android-ready mobile credit card reader, has been a key contributor in small businesses expanding their marketplace. With a free-to-own Square device attachment, merchants of any size can accept all major credit cards to sell their products for a flat fee or a fee-per-swipe.

Starbucks Company, certainly not a small business by any means, soon will accept Square payments as well. This coincides with a major partnership (to the tune of $25 million) that the Seattle-based coffee giant has announced with Twitter inventor Jack Dorsey’s point of sale innovation.

Customers will be able to pay for items at 7,000 Starbucks locations using Square’s mobile app beginning this fall. The company is also granted processing rights to all of Starbuck’s U.S. credit and debit card transactions and Starbucks Chairman, President and CEO Howard Schultz will join Square’s company board.

“The evolving social and digital media platforms and highly innovative and relevant payment capabilities are causing seismic changes in consumer behavior and creating equally disruptive opportunities for business,” said Schultz. “Both Starbucks and Square take a similar approach when building products and running our businesses, and together we can bring the best possible payment experience to Starbucks customers.”

As an additional clause of the agreement, customers can be tuned into Starbucks digital platforms, such as their Starbucks Digital Network, where they can learn more about local Square-enabled businesses in their area and other exclusive content for ‘Square-bucks’ users.

Print Friendly