Diedrich coffee gives up

Holy cow!

Irvine-based Diedrich Coffee, conceding defeat in the coffee shop duel with Starbucks, agreed to sell 40 stores it owns to its Seattle rival for $13.5 million.

The local company will remain in business as a roaster and wholesaler of coffee beans. The sale includes all company-owned Diedrich and Coffee People locations. Franchise stores aren’t included in the sale.

I suppose I shouldn’t be surprised by this, but I thought that the coffee bar cold war wasn’t in danger of heating up anytime soon. The most irritating side-effect of this for us itinerant IT workers that Diedrich’s free Wi-Fi will disappear for Starbucks’ pay system.

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6 Responses to Diedrich coffee gives up

  1. Matt Maxwell says:

    Well, that makes this Friday a little more craptacular. Better make it my business to stop by and enjoy a mocha before they close the deal.

  2. Chris Barrus says:

    Yeah, I’m actually sad about this… Their straight-up iced mocha was the best.

  3. Jonathan says:

    This is a shame; I remember getting hot chocolate from the Diedrich’s on 17th st on many a cold night. I have no fond memories of Starbucks at all, and I can’t really imagine having them.

  4. Chris Barrus says:

    Yeah, that Diedrich on 17th St. was a life-saver for a long time back when it, Rock N Java and Blue Marble were the only games in town.

  5. Tom says:

    More information on Diedrich’s demise can be found here. Hopefully the new CEO will turn things around, but disgruntled investors have seen several “saviors” come and go with horrible results.


  6. Bill Friday says:

    The Deidrich on Beach Blvd (Sport Chalet). Has a coffee ice cream on top of a shot of espresso in 1994 that I remember to this day. Just stood in the parking lot in the hot July sunshine, watching rock climbers on their outdoor rock wall, eating it as fast as I could. I will miss them forever.

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