Breaking up is hard to do, but T-Mobile and Radio Shack seem to be handling the split rather well, all things considered. After Radio Shack alleged that T-Mo materially breached the terms of their agreement, the two have gone their separate ways. Or at least, they will on September 15. This is more of the awkward, still-living-together phase.

In the mean time, Radio Shack has moved on to the hot red head, signing a deal with Verizon. T-Mobile, on the other hand, is looking more like the desperate dumpee, hooking up with none other than the infamous and quite unexpected 7-Eleven. What a rebound, am I right?

While both parties attempted an amicable break, their public responses to the matter gave off another impression. Here’s what Radio Shack’s president and CEO had to say about it:

“The addition of Verizon Wireless, in combination with our existing carrier partners, positions us to now offer the best assortment of carriers, rate plans, devices and accessories for every consumer need.”

The best carriers, huh? So, T-Mobile wasn’t one of the best carriers? And you’re gonna rub your new relationship in T-Mo’s face? Low blow, Radio Shack… Low blow.

You can tell that things were getting pretty rough between T-Mo and Radio Shack in recent months, based on a statement made by then CFO Jim Gooch calling T-Mobile’s products “not competitive with other carriers.” Boom. And that was back in March when the two were keeping up the appearance of a healthy, committed partnership.

Then again, T-Mo hasn’t exactly taken the high road. It’s clear from the releases and the chain of events that it was Radio Shack who initially broke off the agreement. Whether it was actually about a contract breach, or simply poor sales disguised as a contract breach, Radio Shack dumped T-Mo. But T-Mobile has had trouble accepting that, issuing the following statement:

“After careful consideration, we decided that in order to increase the effectiveness of our retail network and in line with our sales strategy, T-Mobile will exit RadioShack retail locations, effective September 15, 2011. We are currently focused on higher return national retailer opportunities and we expect to announce new channel growth in the coming weeks, which will more than double the number of RadioShack doors currently offering T-Mobile products and services.”

Well, that statement is just loaded with coded resentment. According to this response, T-Mo was the one who decided to bounce out of there. After all, the pink carrier is interested in “higher return national retailers.” Which is no problem at all, because T-Mo will “more than double the number of Radio Shack doors” selling T-Mo gear. With 7-Eleven.

7-Eleven does have some experience selling prepaid phones and calling cards, and will add 8,800 new locations to T-Mo’s map. Still, that doesn’t really compare with the reach it had with Radio Shack, and T-Mobile will certainly need to rope in a few more partners before it can ever get back in the game completely. Plus, 7-Eleven won’t really aid in growing the T-Mo customer base, since no one will be signing any contracts in a gas station. Plus, the only phone being sold through 7-Eleven is the LG GS170, a basic flip phone that’ll go for $29.99.

But T-Mobile’s knight in shining armor is on its way. AT&T is in the midst of appeasing the FCC and the DOJ to get approval to officially acquire T-Mobile for $39 billion. While Verizon and Radio Shack seem to be totally over it, that tune may change when AT&T and its betrothed take the number one spot among national carriers.

The T-Mobile/Radio Shack affair isn’t exactly new news at this point — Radio Shack alleged that T-Mobile “materially breached” the terms of their agreement way back in February. No one short of legal counsel knows exactly what grievances Radio Shack has with their magenta-hued carrier partner beyond lackluster sales performance, but it looks as though things are finally coming to a head anyway.

As of September 14, Radio Shack will discontinue their T-Mobile offerings in over 4,300 US locations and on their website. Then, on the very next day, they intend to roll out the red carpet for Verizon.

Jim Gooch, president and CEO of Radio Shack, seems mighty pleased stating that “the addition of Verizon Wireless, in combination with our existing carrier partners, positions us to now offer the best assortment of carriers, rate plans, devices and accessories for every consumer need.” The implication that T-Mobile hasn’t been a terribly good partner is clear, but Gooch is no stranger to talking smack about T-Mobile. During his tenure as Radio Shack CFO, Gooch said rather candidly that T-Mobile’s product offerings were “not competitive with other carriers” Harsh words, but it’s the last thing Gooch needs to concern himself with if the transition pans out the way he hopes.

Update: T-Mobile has reached out to me with an official response to Radio Shack’s decision, which I’ve included below.

“After careful consideration, we decided that to in order to increase the effectiveness of our retail network and in line with our sales strategy, T-Mobile will exit RadioShack retail locations, effective September 15, 2011. We are currently focused on higher return national retailer opportunities and we expect to announce new channel growth in the coming weeks, which will more than double the number of RadioShack doors currently offering T-Mobile products and services.”

[Full Press Release]

A certain subset of computer users – those aged in their late twenties to middle-late 30s – will remember Radio Shack with absolutely fondness. I, for one, used to think of the Shack (as it’s now to be called) as a den of iniquity staffed by people who knew a thing or two about electronics. Those days are long gone, but it’s nice to read posts like Jeff Reifman’s about his love of Radio Shack and how it defined him as a programmer.

Eventually, I parlayed $600 in horse race winnings (my Dad picked and placed a good exacta bet for me at Hollywood Park) and about $600 in sales from my entire baseball card collection to upgrade my computer to have a 5 1/4″ floppy drive. Yes, $1200 for an internal floppy drive. It turned out to be a good investment if you count my later time at Microsoft.

After taking an assembly language class at the Wilshire Radio Shack store (I was the only teenager enrolled), I started hanging out there. I was shocked and saddened to hear from my employee-friend Chuck that Ivan had committed suicide – it was not something I was able to understand at that age.

At one point, Chuck paid me $10/hr (a fortune) to manually re-type the entire contents of private investigator Gavin De Becker’s client database. Chuck set up two Model II computers side by side and I manually moved his entire database from (I think) Profile Plus to (I think) DBase. Basically, it was a catalog of all the psychos tracking his clients such as President Reagan (prior to his election) as well as a lot of code names, e.g. I think Reagan’s was Pigskin. The Model II used 8″ floppies.

Bill Gates, at least according the Malcolm Gladwell, got good because he spent hours and hours on computers before anyone else. I think this generation got good at abstract computing because we were spoiled – we didn’t really see hardware level as the goal and so we weren’t as interested in the nuts and bolts as Gates’ generation was. Thoughts?

65,000 tons of mobile phone e-waste are generated every year. The bad news is, only 1% of consumers choose to recycle their headsets when they upgrade. eRecyclingCorps is working with carriers to integrate the recycling process into the POS sale system at the retail store.

eRecyclingCorps plans on working with the carriers to offer customer trade-in incentives, and Sprint is the first carrier to offer this program. The POS integration will allow Sprint to instantly give the customer credit at the time of purchase. Sprint’s goal is to reach a 90% recycling rate by 2017. An enviable goal, particularly given the amount of waste that the company stands to stop from going into the environment.

So Radio Shack – AKA RadioShack – is planning to call itself the Shack. Radio Shack has been Radio Shack for 88 years. Radio Shack should not change its name.

I understand that the store is in a unique position right now. Most of its major competitors are gone and it’s going up against Best Buy. It has long been the second place you go when looking for electronics and only hobbyists hold the stores near and dear to their hearts. Radio Shack was one of the few places you could get components in a retail environment, a fairly big deal for amateur electronics hobbyists, but now I doubt any of us have set foot in the store in years. The problems, then, run far deeper than a simple name change.

UPDATE – The official Shack release after the jump. *sad clown*

Harry at Technologizer puts it best:

4. RadioShack has problems beyond any issues with its name. Lots of them. Its stores are tiny by the standards of the past few decades of American retailing, and therefore can’t compete with the product selection at rivals. (It barely has room to sell HDTVs at all–the TV section at my nearest Costco is larger than my local RadioShack.) When I’ve been inside RadioShacks in recent years, I’m usually surprised by high the prices are. They have a reputation for iffy customer service. If the signage outside the stores changes but the experience inside doesn’t, it’s not going to be any more competitive than it is right now.

Instead of spending millions on a rebranding, the stores need to regroup. Service in Radio Shack is abysmal and the prices are high and selection is limited at best. The company doesn’t need to be called the Shack (incidentally, there’s a Christian novel called the Shack which may be the impetus for this change. Maybe to make it more affable to the heartland?) Instead, Radio Shack needs to become an alternative to big box stores like CostCo and Best Buy or a replacement for those wonky kiosks in malls where they sell garbage phones.

RadioShack needs to go big or go small but it doesn’t need to change its name.

Incidentally, does anyone remember what the Radio Shack PC clones were called? We almost bought one back in the 286 days. Was it a Tandy?

More videos here…

RadioShack Invites Consumers to Rediscover “THE SHACK” through
New Brand Creative Platform

Integrated Media Campaign to Contemporize the Brand and Reinforce RadioShack’s Authority in Innovative Products, Leading Brands and Knowledgeable Associates

FORT WORTH, Texas (Aug. 3, 2009) – RadioShack Corporation (NYSE: RSH) will unveil its new brand creative platform, “THE SHACK,” on August 6, supported by an integrated television, print and digital media schedule, as well as a high-profile, three-day launch event taking place in New York City and San Francisco. The new creative was developed by Butler, Shine, Stern and Partners of Sausalito, CA, which was named the Company’s creative agency of record in April.

“Trust is a critical attribute of any successful retailer, and the reality is that most people trust friends, not corporations. When a brand becomes a friend, it often gets a nickname – take FedEx or Coke, for example. Our customers, associates and even the investor community have long referred to RadioShack as ‘THE SHACK,’ so we decided to embrace that fact and share it with the world,” said Lee Applbaum, RadioShack’s Chief Marketing Officer. “This creative is not about changing our name. Rather, we’re contemporizing the way we want people to think about our brand. THE SHACK speaks to consumers in a fresh, new voice and distinctive creative look that reinforces RadioShack’s authority in innovative products, leading brands and knowledgeable, helpful associates.”

“We have tremendous equity in consumers’ minds around cables, parts and batteries, but it’s critically important that we help them to understand the role that we play in keeping people connected in this highly mobile world,” added Applbaum. “You will see a real focus on mobility and wireless products from leading brands in our new advertising.”

RadioShack announced last month the addition of T-Mobile to its lineup of wireless carriers in 4,000 stores as part of its strategy to increase its authority and share in mobility and connectivity.

“We’ve partnered with RadioShack to develop a creative platform that will cause people to take another look at THE SHACK. Everything about the advertising – the media, format, style, music and tone – will contribute to a new interpretation of the brand,” said Greg Stern, BSSP’s Chief Executive Officer. “Everyone knows RadioShack. Our job is to communicate what THE SHACK stands for today.”

RadioShack also announced a partnership with seven-time Tour de France winner, Lance Armstrong, both to sponsor his new American Pro-Tour cycling team and to work with the Lance Armstrong Foundation and LIVESTRONG campaign in the global fight against cancer.

“This is an exciting time at RadioShack,” added Applbaum. “The announcement about Lance and Team RadioShack generated a great deal of consumer excitement and a reappraisal of our brand, which is exactly what THE SHACK is intended to do. Having Lance on our team will no doubt accelerate our brand’s evolution.”

To bring the new creative strategy to life, RadioShack will host Netogether, a three-day event taking place in New York City’s Times Square and San Francisco’s Justin Herman Plaza on August 6, 7 and 8. The event will connect the cities with two, massive, 17-foot laptop computers with webcams that allow live video and audio exchanges. Netogether will feature live music, celebrity appearances and unique contests to demonstrate how technology can keep people connected – even 3,000 miles apart. Consumers are invited to visit the event and chat with friends or family via the laptops, or to join in the conversation online at www.radioshack.com/theshack, where they can offer real-time comments on the live video feeds.

Good for RadioShack. All 4400 stores are now drop-off locations for the company’s trade-in program, which sounds like a natural fit. Previous gadget trade-in programs generally involve sending your gear away to a random website where you just *know* that you will not get in return what the website advertises. Now you just head to your local ‘Shack and the associate determines the gadget’s value right away and hands you a gift card if you accept. Sounds like a good plan to us as every community has a RadioShack and everyone has old gadgets gathering dust that can now be used to buy new gear.

Stores are now accepting:

•  MP3 players
• Mobile phones
• Cameras
• Camcorders
• GPS receivers
• Gaming Media
• Gaming Consoles

The website accepts all those plus:

• HDTVs
• Car Audio
• Laptops

The Source are small retail outlets; think Radio Shack. Best Buy just opened three small locations in Canada and so this purchase could rocket forward their infiltration plans in the Great White North. So far there hasn’t been any official announcement of potential buyers. If a buyer isn’t found, these stores could find their way onto the same path to liquidation hell that the US locations are currently on.

We’re admittedly a little late on the uptake for this one but in case you missed it, here are some good deals from Radio Shack’s leaked Black Friday ad:

• $80 to $100 off of select TomTom, Mio, and Garmin GPS units
• Memorex HD digital camcorder for $79
• SmartParts 10.4-inch digital photo frame for $99
• Casio EX-Z9 digital camera plus Canon photo printer for $99 after rebates
• Envision 32-inch LCD TV for $399
• Gateway 15.4-inch notebook (3GB RAM, 250GB hard drive) for $499 after rebates
• Netgear Super-G router for $29
• Whistler cordless radar detector for $49
• Sprint Palm Centro free with 2-year contract
• AT&T Samsung Propel free with 2-year contract and unlimited text package
• Canon PIXMA MX300 printer free with any digital camera purchase after rebate
• Memorex upconverting DVD player with HDMI output for $29
• Free alarm clock iPod dock with purchase of Nano, Classic, or 8GB iPod Touch

Full list of items here, full ad scan here.

via Kotaku

Radio Shack is gaining yet another exclusive GPS model after the Motorola and NAVIGON units. The TomTom Go 630 seems similar in specs to the GO 720 with even the same $399 price.

• IQ Routes Technology
• Advance Lane Guidance
• Access to TomTom MapShare
• Text-to-Soeech
• 4.3-inch widescreen
• Bluetooth handsfree call

Side note about why Radio Shack is selling “exclusive” models after the break.

Price matching. I worked in retail for a long time and I can tell you that price matching is why Radio Shack is selling exclusive GPS units with similar specs as other models. Radio Shack rarely wins in price wars and hardly ever matches the price of a cheaper retailer. Now that they have a similar model, but with a different model number though, the issue disappears.

The conversation between a customer and Radio Shack worker would go like this:

Nice customer lady

“Best Buy has this TomTom GPS unit on sale for $349 this week. Can you match the price?”

Radio Shack tool

“Actually, we sell an exclusive version that comes with special features like a slightly brighter screen and a longer windshield mount so, no, I cannot match the price but you are going to want to spend the extra coin to buy this one anyway. Besides, it’s a different model number.”

Best Buy is set to take over your local mall with small stores designed for your “life on the go”. These locations are going to be stocked with not only cell phones, but also ultra-portable notebook computers, PMPs, and of course, accessories. The upgraded Best Buy Mobile stores build on the cell-phone only model that the company started rolling out last year but will now include non-cell phone products. You know what these stores sound like? Radio Shack; well, if Radio Shack could figure out how to sell iPods and computers.

Starting tomorrow, Radio Shack will be selling the Samsung Instinct to new Sprint customers for $99. If you’re an existing Sprint customer looking to upgrade, it’ll cost you the normal price of $129. The sale is going on through Labor Day, so if you’re going to Radio Shack anyway, why not pick up a new Instinct?

What am I saying? Nobody goes to Radio Shack. What I meant to say was if you’re looking to buy a new Instinct, why not drop into Radio Shack for the first time in ten years? Ah, that’s more like it.

Starting tomorrow, Radio Shack will be selling the Samsung Instinct to new Sprint customers for $99. If you’re an existing Sprint customer looking to upgrade, it’ll cost you the normal price of $129. The sale is going on through Labor Day, so if you’re going to Radio Shack anyway, why not pick up a new Instinct?

What am I saying? Nobody goes to Radio Shack. What I meant to say was if you’re looking to buy a new Instinct, why not drop into Radio Shack for the first time in ten years? Ah, that’s more like it.

Since the launch of Apple’s super-popular iPhone, competing handset manufacturers have been scrambling to produce phones that at least somewhat replicate Cupertino’s device. So it should stand to reason that the look and feel of Apple’s stores, which are quite popular with shoppers, might begin to appear in competing retailers’ stores.

Case in point, it’s being reported that Radio Shack will be opening three very familiar looking stores this October, with 10 planned by the end of the year, 150 by this time next year, followed by 400 within three years. Mike Baker, a Deutsche Bank analyst, says that the Radio Shack stores will be taking a page straight from Apple’s retail playbook, but will not likely be found in dumpy malls.

Instead, you’ll find these Radio Shack locations to be standalone stores in nicer neighborhoods. No word on whether or not Radio Shack’s planning to train its employees as thoroughly as Apple trains its retail army. I’m guessing that maybe employees in the new Radio Shack locations will be dressed nicely but will still swarm you three at a time, hoping for that sweet battery commission.

[via The Raw Feed]

This purported ad sent in by a Radio Shack employee to Joystiq backs up the last week’s ad from K-Mart that Microsoft will give the Xbox 360 a price cut during E3. Hold off a few weeks if you’re in the market, kiddies.

BGR’s “Apple ninja” is claiming that the iPhone 3G may be available for sale at Radio Shack and Best Buy, but it’s unknown whether or not this will take effect on the 11th if it happens at all. Yeah. Whatever.