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RadioShack's Target Mobile partnership to end on April 8th (update: Target picks new partners)

RadioShack's Target Mobile partnership to end on April 8th (update: Target picks new partners)
Alexis Santos
Alexis Santos|January 14, 2013 5:54 PM

If you're planning on waltzing into a Target store and picking up a cellphone with a monthly plan, you only have until April 8th to do so. RadioShack, which operates Target Mobile in 1,500 Target stores, has come to an agreement with its fellow retailer to end the relationship, effective April 8, 2013. The duo says they're parting ways on amicable terms since they couldn't strike a new deal -- which they've been hoping to hammer out since October -- that would make the business profitable for each party. For those whose fancies are struck by pay-as-you-go solutions, Target's prepaid mobile business won't be affected by the deal.

Update: Target let us know that Target Mobile will continue offering phones and service past April thanks to a new partnership with Brightstar and MarketSource. Also, the retailer assures us that phone service for existing customers is slated to continue uninterrupted during the transition. Hit the jump for the full press release.

[Image credit: Roadsidepictures, Flickr]

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RadioShack and Target Dissolve Target Mobile Partnership

FORT WORTH, Texas, Jan. 14, 2013 /PRNewswire/ -- RadioShack Corp. (NYSE: RSH), today announced the end of its relationship with Target, where it helps operate Target Mobile in 1,500 Target stores, effective April 8, 2013.

The RadioShack and Target partnership provided RadioShack access to manage Target's post-paid mobility business, but RadioShack did not manage the prepaid mobility business or the wider range of accessories offered in Target stores.

Since October 2012, RadioShack had been renegotiating the terms of the relationship with Target to establish an agreement that would be profitable to both companies. At that time, RadioShack executed a termination notice that would allow the company to exit the Target business if an agreement could not be reached.

"In order for RadioShack to have continued this relationship, we needed to establish a new agreement that would be financially appealing to both companies," said Telvin Jeffries , RadioShack executive vice president, chief human resources officer, and general manager of retail services "Ultimately, we amicably agreed to dissolve the relationship."

Target Announces Brightstar and MarketSource as New Target Mobile Service Partners

January 14, 2013 MINNEAPOLIS

Target Corporation (NYSE: TGT) announced today that it has selected new service partners for Target Mobile. Brightstar, the world's largest specialized wireless distributor and leading provider of diversified services to the wireless industry and MarketSource, a leading provider of integrated sales and marketing services company will support Target Mobile beginning in April 2013.

Target Mobile, in-store wireless shopping stations, are available in 1,500 stores and enable guests to purchase mobile phones and activate contracts from the nation's top carriers. Beginning in April 2013, Brightstar will be Target Mobile's new supply chain and point-of-activation technology provider, and MarketSource will be the in-store sales services partner.

"Collaborating with Brightstar and MarketSource will further enhance Target's position in the wireless retail marketplace," said John Butcher, vice president, Electronics at Target. "These partnerships move the business forward and ensure our guests will receive the latest products and services coupled with Target's exceptional value and best-in-class shopping experience."

Brightstar and MarketSource will assume responsibilities previously managed by RadioShack. Target Mobile will undergo a transition period between now and April 8, 2013 to ensure there is little to no disruption in the guest experience.

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RadioShack's Target Mobile partnership to end on April 8th (update: Target picks new partners)