Starbucks Begins Offering Square Wallet

Several months after announcing it was investing $25 million in Square, Starbucks (SBUX) has begun accepting the startup's brand of mobile payments at its roughly 7,000 brick and mortar stores. Though the Seattle company won't be deploying Square's infamous dongles, the launch represents a milestone for Square.

Starbucks has agreed to process its U.S. credit and debit card transactions through the San Francisco company.

The coffee chain giant already supports its own separate digital commerce app that completes transactions using a barcode. That app is supported through Apple's recently launched method of storing coupons and tickets, Passbook.

Purchases customers make using Square will feature similar functions.

In addition to buying beverages, Square Wallet users will be able to browse Starbucks' menu, store hours and their past orders. Customers will also be able to peruse a directory of "neighborhood businesses" near their local Starbucks.

And, by the summer, customers will also be able to pay tips through both mobile apps.

"Just three months after announcing our partnership with Square, we are thrilled to make the convenience of paying with the Square Wallet app available to our customers starting today," said Adam Brotman, Starbucks' chief digital officer, in a press release.