Target sets up shop in Silicon Valley to keep up with technology trends

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Target Corp. has put Silicon Valley in its bullseye.

The Associated Press says the Minneapolis-based retailer has set up technology test labs in the San Francisco area in an effort to improve their websites and create mobile shopping applications.

The AP says Target is competing with other retailers to recruit top Silicon Valley talent as a way to keep up with technology trends in order to compete with industry giants like Amazon.com.

The Wall Street Journal says Target's current online approach already has "a distinct Amazon feel -- from recurring deliveries for diapers to on-demand streaming video and free shipping and discounts for its members."

Target is not alone in its endeavors. Kohl's and home shopping network QVC are also among the half-dozen retailers who have recently set up shop in San Francisco.

Wal-Mart was reportedly the first major retailer to set up a lab in Silicon Valley, doing so in 2011. Since then, the company has developed a number of new technologies, including a new search engine that was unveiled in 2012.

Target's lab, which is housed in a 5,000-square-foot office at the historic Folgers Coffee Co. building, opened up in May with 20 employees.

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