Published: Thu, December 13, 2018
Markets | By Otis Pena

Apple to build new Austin hub, expand in other tech hotbeds

Apple to build new Austin hub, expand in other tech hotbeds

Apple has announced plans to build a new campus in Austin, Texas, saying the project will involve a $1bn (£790m) investment.

Apple will build a $1 billion campus in North Austin and establish smaller new locations in Seattle, San Diego and Culver City, California, the company said Thursday.

While Austin, Texas, was the big victor in Apple's Thursday announcement of its plans for corporate expansion, Boston is getting a consolation prize.

The 133-acre campus in Austin will be less than a mile from Apple's existing facilities and initially have 5,000 employees. The Austin American-Statesman newspaper reported that Apple is also seeking a 15-year property tax abatement for the new campus and said the city did not provide incentives.

Outside of Austin, Apple intends to grow at several different locations.

Early this year, Apple said that it would make more than $30 billion in capital expenditures in the USA over the next five years.

Apple is expanding its presence in the a part of a billion-dollar investment that the company said would generate at least 5,000 new jobs. Apple plans to open three new offices that will each employ at least 1,000 workers in Seattle, San Diego and Culver City, California. The company plans to invest $10 billion in US data centers over the next five years, including $4.5 billion this year and next.

The three other new locations in Washington state and California will have more than 1,000 employees each.

Apple plans to create 20,000 new jobs in the U.S. by 2023
Apple plans to create 20,000 new jobs in the U.S.

The expansion comes after new United States tax laws were enacted late past year that prevented Apple from avoiding taxes on worldwide profits. The company plans to add hundreds of new jobs in Pittsburgh, New York, Boulder, Boston, and Portland, Oregon.

The company has not yet detailed what incentives it will receive from the city and state.

The company also argues that it can take the credit for creating and supporting more than 2 million jobs in all 50 states, including workers at 9,000 suppliers and manufacturers in the US.

The graphs are from Apple's pitch on its role as a job creator in the US.

Most recently, the president threatened to add tariffs to iPhones and other Apple products manufactured in China if trade negotiations with Beijing did not go the way he wanted. We have got a lot of jobs in the pipeline, we have announced a lot of jobs, just last year was a record number of jobs and we are heading toward a significant number - close to that same number this year.

Apple employees by USA state.

Cities are eager to bring in more tech employers because companies like Apple and Amazon ladle out six-figure salaries to engineers and other skilled workers.

Gunman kills four worshippers during mass at cathedral
The investigator also said that before shooting himself in the head, the suspect took a bullet in the ribs from responding police. Paramedics were also seen treating several people outside the cathedral and there were multiple police cars in the street.

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