Friday , May 20 2022

Amazon HQ2: technology giant turns into a new home in New York and Virginia | technology


Amazon said it will set up offices in Queens, New York, 25,000 people and offices in northern Virginia near Washington, DC, and end a year-long auction war for a $ 5 billion second center that will now be divided.

In addition, Nashville, Tennessee will host Amazon's new east coast operation centers and add 5,000 businesses.

The new Washington headquarters will be in the National Landing in Arlington, Virginia, and the New York city center will be in Long Island City, Queens.

Jeff Bezos, the founder and CEO of Amazon, said, "These two locations will help us continue to invent for our customers over the years, enabling us to attract talent worldwide."

Amazon received more than 200 offers from North America, competing for a home base as well as the center of Seattle.

New York and Virginia beat 18 people, including Los Angeles and Chicago, on an Amazon list released in January.

Cities and states have promised billions of dollars in tax deductions and other incentives for the so-called HQ2 of Amazon. They also delivered infrastructure, labor and other data to the world's largest online retailer, which could be useful in other ways.

It was not immediately clear how the negotiations emerged on the plan for the two offices of Amazon. The company said it initially spent more than $ 5 billion and hired 50,000 employees at a location.

The company has already had to navigate similar issues on the city campus more than 45,000 in Seattle. The affordable housing crisis ensured that the city council received a head tax on workplaces in May. This helped Amazon to overthrow the next municipal council elections.

The division of the center also means that, according to some of the other short list competitors, the economic benefits of the hosts will remain silent according to expectations.

The two areas already have relatively low unemployment rates, and Fitch Ratings said that even a full HQ2 represents 1.5% of the Washington region and 0.5% of the workforce in the New York area. A report from the Brookings Institution said Amazon's neighborhoods offer lower rents and more attractive regions than nearby central business districts.

Some critics cautioned that the benefits of hosting a large Amazon office to provide greater transparency from cities and states in the bidding process would not be able to compensate taxpayers' subsidies and other costs.

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