Apple, Circuit City ‘go their separate ways’

A year and a half after announcing a relationship that promised to bring iMacs and iBooks into more than 500 Circuit City stores nationwide, Apple and the consumer electronics retailer are parting company. Apple and Circuit City today confirmed the news with MacCentral.

In July of 2000, Apple announced that its line of iMacs, iBook and AirPort accessories would be sold in Circuit City electronic superstores nationwide. The company sells a wide variety of consumer electronics ranging from home audio and video equipment to car accessories, personal digital assistants, and personal computers from other manufacturers.

In the intervening months, Apple has opened its own chain of retail stores, where the company’s entire line of hardware and software is highlighted along with hundreds software titles and accessories. The company has focused on store locations in high-traffic shopping malls and centers in suburban locations around the country. In 2001 Apple opened 27 new retail stores, and company executives have stated plans to open more in 2002.

After more than a year and a half, Apple and Circuit City are terminating the arrangement, but Apple isn’t providing details about the decision. “Apple and Circuit City have mutually decided to go their separate ways and will be phasing out their relationship over the coming year,” said Apple’s spokesperson.

Circuit City spokesman Bill Cimino qualified the decision as “amicable” and said that it’s in the best interests of both companies to go their separate ways. Cimino added that Circuit City will continue to carry iMacs as it clears through its existing retail and distribution center inventory, which may take months.

Cimino also indicated that Circuit City will continue to carry Mac-specific software and accessories through the coming year as its Mac inventory is depleted.