Starbucks to launch single-cup home brewing machine

Verismo system will be sold online and at select retail stores

Starbucks is launching a new offensive in its efforts to be all things to all coffee lovers.

The giant retailer will soon be offering its own version of a single-cup home brewing machine. Starbucks will begin selling its "Verismo" machine this fall, the company announced yesterday.

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Right now, Green Mountain currently dominates the single serve market with its popular Keurig, or K-Cup machines. Last year, the two companies announced a deal allowing Green Mountain to produce K-Cup versions of Starbucks coffees and Tazo teas. That partnership may continue.

"This is complementary to our partnership with Green Mountain, and they can and they will co-exist," Starbucks CEO Howard Schultz said in a call with analysts. 

Starbucks said that it shipped over 100 million K-Cup packs in the eight weeks following last year's launch, and that the Starbucks K-Cup business "continues to accelerate."

Even the threat of new competition had shares of Green Mountain falling late Thursday.

 

 

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