Apple Investing $300 Million in Austin, Texas to Add 3,600 More Workers

MacRumors · Mar 9, 2012, 09:40 AM

The State of Texas today announced that Apple has committed to spend $304 million to expand its operations in Austin, seeking to add 3,600 employees to its facilities there.

Quote:

The new campus will more than double the size of Apple's workforce in Texas over the next decade, supporting the company's growing operations in the Americas with expanded customer support, sales and accounting functions for the region. In exchange for Apple's commitment to create these new jobs in Texas, the state has offered Apple an investment of $21 million over ten years through the Texas Enterprise Fund (TEF).

Apple's campus in Austin, Texas (Source: Flickr/The Pug Father)

While Apple's Austin campus focuses primarily on customer support and other administrative functions, it does also house some engineering functions primarily related to chip design. Samsung's chip factory where it produces Apple's A-series chips for its iOS devices is also located in Austin and recently underwent a major expansion itself to support Apple's products.

Update: The City of Austin has also proposed an $8.6 million grant investment in the project should Apple meet certain performance metrics presumably tied to campus development and hiring. Apple is required to invest $56.5 million in new facilities and equipment by the end of 2015, with an additional $226 million investment coming by the end of 2021. Apple has also committed to retaining its existing 3,100 jobs in Austin and adding at least 3,635 new jobs, with yearly hiring targets for each of the ten years following the opening of its Phase I expansion.

Article Link: Apple Investing $300 Million in Austin, Texas to Add 3,600 More Workers

William Gates · Mar 9, 2012, 09:45 AM

Austin FTW

Slovak · Mar 9, 2012, 09:46 AM

So for anyone screaming "Buy American" - this is the face of globalization. Jobs will go where the skills and price are at equilibrium. Manufacturing in Asia (no, China is many times not the cheapest), higher value-added functions in the US, for example.

I don't hear anyone complaining about these jobs coming/staying in the US, even though they support international markets.

rkahl · Mar 9, 2012, 09:47 AM

Best News all day!

Macman45 · Mar 9, 2012, 09:49 AM

Quite a few of the key staff moved from Houston, my Apple guy and a couple of the super-techs I know recently transferred to get the ball rolling. Good to see some jobs being created what with the way things are at present.

DrJohnnyN · Mar 9, 2012, 09:52 AM

Texas fight!!

RalfTheDog · Mar 9, 2012, 09:53 AM

I would prefer to keep the jobs in the United States. If the jobs must go to a third world country, Texas is as good as any.

rkahl · Mar 9, 2012, 09:56 AM

Quote:

Originally Posted by RalfTheDog

I would prefer to keep the jobs in the United States. If the jobs must go to a third world country, Texas is as good as any.

Texas is fine, it's our 3rd World Governor!

Chris97 · Mar 9, 2012, 09:58 AM

Quote:

In exchange for Apple's commitment to create these new jobs in Texas, the state has offered Apple an investment of $21 million over ten years through the Texas Enterprise Fund (TEF).

Interesting they had to bribe them $21 million to do it, though. With $97.6 billion cash on hand and a market cap of over $500 billion, Tim Cook probably has $21 million stuck between the cushions in his couch.

Btrthnezr3 · Mar 9, 2012, 09:58 AM

Argh! I hate Prick Rerry...and undoubtedly, he will take credit for this deal.

Wish he would trip on a stump or something.

But yay for Texas jobs.

Ivan0310 · Mar 9, 2012, 10:00 AM

Keep Austin Weird!

Eduardo1971 · 10:08 AM

I know I'm going to get downrank but texas of all places?

"Fight on!"

efktd · Mar 9, 2012, 10:04 AM

sxsw

rkahl · Mar 9, 2012, 10:11 AM

Quote:

Originally Posted by Ivan0310

Keep Austin Weird!

RIP Leslie Cochran

Themaeds · Mar 9, 2012, 10:12 AM

Yeah I said Austin...Austin Massachusetts

M-O · Mar 9, 2012, 10:17 AM

slightly closer to the right coast.

cowtownapple · Mar 9, 2012, 10:23 AM

Quote:

Originally Posted by Eduardo1971

I know I'm going to get downrank but texas of all places?

"Fight on!"

You've obviously never spent time in Austin, or any other part of Texas (Dallas and Houston don't count). Governor is a ding-dong, people and culture are not.

Its been at least a decade since we got running water and electricity so I'm not surprised at all about this announcement.

ipoppy · Mar 9, 2012, 10:23 AM

Constant growth = APPL shares up....constantly. Just saying...

Consultant · Mar 9, 2012, 10:29 AM

That's good that Apple is expanding more in the US (besides hiring more employees in the silicon valley area).

AustinIllini · Mar 9, 2012, 10:33 AM

Quote:

Originally Posted by RalfTheDog

I would prefer to keep the jobs in the United States. If the jobs must go to a third world country, Texas is as good as any.

Have you been to Austin? It's about as un-Texas as you can be. Silicon Hills. keep Austin weird!

sportsfan · Mar 9, 2012, 10:38 AM

Why does Texas need to give Apple a 21million break?

These types of subsidys make no sense. Yeah, I know....they are used to bribe companies to create jobs in an area.

No different than people subsidizing sports teams through tax increases.

An inefficient use of taxpayer money.

Doc750 · Mar 9, 2012, 10:40 AM

Love this, we need to bring everything back home, and sell it to the world.

AustinIllini · Mar 9, 2012, 10:41 AM

Quote:

Originally Posted by sportsfan

Why does Texas need to give Apple a 21million break?

These types of subsidys make no sense. Yeah, I know....they are used to bribe companies to create jobs in an area.

No different than people subsidizing sports teams through tax increases.

An inefficient use of taxpayer money.

Most in Texas would disagree with you. Austin's lifeline is that big business that allows for its strange and unique culture. The state will make that money back as it has proven time and time again.

mscriv · Mar 9, 2012, 10:45 AM

Quote:

Originally Posted by Chris97

Interesting they had to bribe them $21 million to do it, though. With $97.6 billion cash on hand and a market cap of over $500 billion, Tim Cook probably has $21 million stuck between the cushions in his couch.

That's how business is run. It's quite common for cities or states to incentivize big business with tax exemptions, building pledges, or other perks. It's not a "bribe", but simple negotiation. The $21 million will easily be put back into the local economy through the jobs created, the taxes paid out by employees, and the other business generated by this expansion.

AustinIllini · Mar 9, 2012, 10:45 AM

Quote:

Originally Posted by rkahl

RIP Leslie Cochran

I wish he could have been mayor

Mar 9, 2012, 09:45 AM	#2
William Gates macrumors regular Join Date: Oct 2007	Austin FTW __________________ iPhone 5 \| iPad 3rd gen \| 2011 Mac Mini \| 2011 13" MacBook Air \| Apple TV 2nd gen \| Apple TV 3rd gen
	8

Mar 9, 2012, 09:47 AM	#4
rkahl macrumors 6502a Join Date: Jul 2010	Best News all day! __________________ Too much!
	3

Mar 9, 2012, 09:49 AM	#5
Macman45 macrumors G4 Join Date: Jul 2011 Location: Somewhere Back In The Long Ago	Quite a few of the key staff moved from Houston, my Apple guy and a couple of the super-techs I know recently transferred to get the ball rolling. Good to see some jobs being created what with the way things are at present. __________________ Time And Tide Wait For No Man
	3

Mar 9, 2012, 09:52 AM	#6
DrJohnnyN macrumors 6502a Join Date: Jan 2010 Location: Dallas, TX, USA	Texas fight!! __________________ "In nothing do men more nearly approach the gods than in giving health to men." -Cicero
	3

Mar 9, 2012, 09:53 AM	#7
RalfTheDog macrumors 65816 Join Date: Feb 2010 Location: Lagrange Point	I would prefer to keep the jobs in the United States. If the jobs must go to a third world country, Texas is as good as any. __________________ Programming is much like blacksmithing. You just keep pounding on it until it looks good. Then you pretend it is done.
	13

Mar 9, 2012, 09:46 AM	#3
Slovak macrumors regular Join Date: Jul 2008	So for anyone screaming "Buy American" - this is the face of globalization. Jobs will go where the skills and price are at equilibrium. Manufacturing in Asia (no, China is many times not the cheapest), higher value-added functions in the US, for example. I don't hear anyone complaining about these jobs coming/staying in the US, even though they support international markets.
	6

Mar 9, 2012, 09:58 AM	#10
Btrthnezr3 macrumors 6502a Join Date: Aug 2010 Location: Texas	Argh! I hate Prick Rerry...and undoubtedly, he will take credit for this deal. Wish he would trip on a stump or something. But yay for Texas jobs. __________________ iPhone 5, iMac, MBA
	2

Mar 9, 2012, 10:00 AM	#11
Ivan0310 macrumors newbie Join Date: Mar 2011 Location: Dallas, TX	Keep Austin Weird! __________________ 2.0GHz Quad-Core Intel Xeon MacPro, 120GB SSD + 2.25TB HDD, 7GB RAM, nVidia 8800GT \| 2.4GHz Core i5 MacBook Pro 13.3" \| TV \| 32GB iPhone 4
	2

Mar 9, 2012, 10:03 AM	#12
Eduardo1971 macrumors 6502a Join Date: Jun 2006 Location: Lost Angeles, Ca. usa	I know I'm going to get downrank but texas of all places? "Fight on!" __________________ Mid-2011 27 inch, 3.4 Ghz, 12GB RAM, i7 iMac Fight On! Last edited by Eduardo1971; Mar 9, 2012 at 10:08 AM.
	-7

Mar 9, 2012, 10:04 AM	#13
efktd macrumors member Join Date: Sep 2011 Location: USA	sxsw
	1

Mar 9, 2012, 10:12 AM	#15
Themaeds macrumors regular Join Date: Feb 2011	Yeah I said Austin...Austin Massachusetts __________________ “The only thing I wait in lines this long for are slightly better cellphones.” - Homer Simpson
	0

Mar 9, 2012, 10:17 AM	#16
M-O macrumors 6502 Join Date: Mar 2011	slightly closer to the right coast.
	0

Mar 9, 2012, 10:23 AM	#18
ipoppy macrumors 6502 Join Date: Oct 2006 Location: UK	Constant growth = APPL shares up....constantly. Just saying... __________________ Failure is not an option - it comes bundled with Windows.
	-1

Mar 9, 2012, 10:29 AM	#19
Consultant macrumors G5 Join Date: Jun 2007	That's good that Apple is expanding more in the US (besides hiring more employees in the silicon valley area). __________________ * Is redesign innovation? The false burdens of Apple iOS * \| Apple User Art \| Celebs with Macs \| Mac: Power Users \| Tech Humor
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Mar 9, 2012, 10:38 AM	#21
sportsfan macrumors regular Join Date: Nov 2009	More Corporate Welfare Why does Texas need to give Apple a 21million break? These types of subsidys make no sense. Yeah, I know....they are used to bribe companies to create jobs in an area. No different than people subsidizing sports teams through tax increases. An inefficient use of taxpayer money.
	-2

Mar 9, 2012, 10:40 AM	#22
Doc750 macrumors 6502a Join Date: Aug 2010	Love this, we need to bring everything back home, and sell it to the world. __________________ Current apple products:MPB 17, ACD 27, MBA 13, iPad2 Replaced iPhone 4S with Note 2 Replaced ATV2 with Roku 2 XS
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