Subway announces major menu shake-up: Here's what's changing

Subway is parting ways with Coca-Cola. 

The sandwich chain on Tuesday announced it has reached a deal with PepsiCo, making it Subway's exclusive beverage provider in all U.S. restaurants starting Jan. 1, 2025.

Under the 10-year agreement, PepsiCo products will be sold, including Pepsi, Mountain Dew, Starry (previously Sierra Mist), and Gatorade. 

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Coca-Cola products such as Sprite Fanta, and Diet Coke, will be phased out at all U.S. Subway locations by 2025.

"The partnership with PepsiCo is an exciting milestone in our journey to become America's favorite place to eat, drink and work," said Doug Fry, President of Subway, North America. "It is a win-win for everyone, as it brings a delicious suite of beverage and snack choices to our guests, driving additional consideration of these menu items, while also providing cost-effective, streamlined solutions to our franchisees."

Photo courtesy Subway

PepsiCo is currently Subway’s beverage provider in several other countries, including Canada and Germany. 

Subway also said it is extending its partnership with PepsiCo’s snack food subsidiary Frito-Lay through 2030, to continue providing chips and snacks at its restaurants.