Behind the Redmond-RadioShack alliance

 

"We're partnering with RadioShack to take on the next frontier of computing: getting America connected to the Internet." - Bill Gates

Microsoft, RadioShack in surprise deal update Microsoft invests $100 million in the electronics retailer and forms an alliance to promote Web technologies and consumer products within RadioShack stores. Antitrust issues loom over agreement Microsoft's business-as-usual behavior may be part of a bolder plan to prepare for the potential breakup of the company after its federal antitrust case ends. Plan is part of new Web strategy The deal is perhaps the clearest sign yet of Microsoft's hopes to sell its services to a mass market. Deal may cement Tandy's turnaround Three years ago, Tandy--RadioShack's parent company--was on shaky ground. Since then, its has popularized the "store within a store" concept and gradually reversed its fortunes.