Apple Planning to Invest $1 Billion in New Data Center and Other Facilities in Reno, Nevada

[kirky29]

they should make a reno 911 episode with apple

One of the best shows ever made!

 

[Navdakilla]

hopefully the end result sparks reno up a bit

never been, but from the comments I can imagine

 

[Matt-M]

Considering the name given to this project, I begin to wonder if it doesn't include a manufacturing/assembly plant.

Pretty sure that name refers to a species of apple, not to a certain designer.

http://en.wikipedia.org/wiki/Jonathan_(apple)

 

[Drunken Master]

You aren't serious are you? Cooling costs? It's only hot in Reno three months out of the year, and the temperatures fall into the 50s and 60s at night. Fall and Spring are mild, and winter isn't all too serious. Aside from that....cooling costs pale in comparison to other cost advantages. Real estate in Reno is dirt cheap since the bust. Taxes in Nevada are incredibly low, there is a large and inexpensive labor force that currently suffers from a high rate of unemployment (see supply/demand). Those factors outweigh cooling costs by light years. Operating in Newark, CA is far more expensive due to those factors.

Some of the comments on this thread are unbelievably dim witted.

Contrary to what your snarky tag suggests.....no, you're not always correct. In fact, this time, you're just....simple.

Did we wake up on the wrong side of the bed today?

It's OK honey, happens to the best of us.

 

[Dae]

WHOA! I always thought "the biggest little city in the world" sign was made up in Fallout 2.

 

[karl878]

Reno has a very dry climate, so using evaporative cooling there can be a very efficient cooling option.

Article on evaporative cooling (Utah Data Center Uses Evaporative Cooling Along Way to 80% Energy Savings):
http://www.environmentalleader.com/...ative-cooling-along-way-to-80-energy-savings/

Chart of relative humidities, see Reno's low morning numbers:
http://lwf.ncdc.noaa.gov/oa/climate/online/ccd/avgrh.html

 

[Brien]

Great news. Now lets just hope they use some of this money to fix up downtown... Lots of potentiat for a proper hidtpric district, e.g. downtown Sacremento, Santa Rosa, etc.

 

[Rocketman]

This is good news for the whole iCloud front. They really do need one in Europe though.

How much do you wanna bet they choose Georgia or Ukraine?

 

[Matt-M]

hopefully the end result sparks reno up a bit

never been, but from the comments I can imagine

It is actually quite a pretty location, if seen from afar...

 

[BornAgainMac]

Reno reminds me of Tatooine. Nevada will be a good tax shelter compared to California and in addition to the sun it also gets very windy there.

 

[BobCollins]

Geography?

How is Newark California near the companies headquarters?

 

[nvbrit]

How is Newark California near the companies headquarters?

well according to Google Maps, it's only 22 miles away so I would say that's "near"

 

[Laird Knox]

Why build a data center in such a hot place though? Wouldn't you end up using more power to keep the building cool?

I guess there's less chances of natural disasters there though, no hurricanes or tornadoes to worry about.

Lots of sunshine for solar panels which can also shade the building from the sun. Also sandstorms to etch the glass on solar panels to greatly reduce efficiency.

Reno reminds me of Tatooine. Nevada will be a good tax shelter compared to California and in addition to the sun it also gets very windy there.

Seriously?

Now it all makes sense

 

[Daalseth]

Cool, maybe they can build data centers into hillside cave dwellings?

Image

That looks so cool. where is that? (It's not Nevada)

 

[allanincali]

Found this interesting article at IP.

http://www.investorplace.com/2012/06/7-dark-sides-of-apple/

Tax Evasion
Apple is an immensely profitable company that operates globally, yet part of that profitability is a calculated strategy to open subsidiaries and locate offices in tax-free havens to reduce the income tax it pays. Perhaps the most blatant of these measures is its subsidiary Braeburn Capital, located in corporate-tax-free Nevada to avoid the 8.84% corporate tax rate in California, where Apple’s headquarters is located. According to The New York Times, Apple paid just $8.3 billion in taxes worldwide in 2011, which equates to a 9% tax rate. Walmart (NYSE:WMT), in comparison, pays a 24% tax rate.

 

[3282868]

I'm telling you

 

[theBB]

According to The New York Times, Apple paid just $8.3 billion in taxes worldwide in 2011, which equates to a 9% tax rate. Walmart (NYSE:WMT), in comparison, pays a 24% tax rate.

Apple's taxes are also in the twenties percentage wise. Financial reports from each quarter publishes the estimated tax rate pretty clearly and none of them are anywhere near 9%. The idiots at NYT effectively compared Apple's revenue in 2012 with its taxes for the previous year. As Apple's profits were growing rapidly, that changed the percentage substantially. There is a Forbes article describing it in more detail, but it is a bit late at night for me to find the exact link now.

 

[SD449]

This could turn out to be a bit of a gamble

 

[Laird Knox]

This could turn out to be a bit of a gamble

*groan*

 

[doobybiggs]

Well, I wonder if they will be paying straight up cash for everything

 

[Slovak]

Please reference this thread next time someone whines about Apple moving all jobs to China. The people employed here will be making multiples of iPhone production line workers. Overall economic impact to build a facility like this...

----------

Why build a data center in such a hot place though? Wouldn't you end up using more power to keep the building cool?

Solar power year round.

 

[jcpb]

Found this interesting article at IP

Apple doesn't want to pay taxes? STOP THE PRESSES!

Fact is, Google essentially admitted to doing the same thing on their last conference call.

 

[BTW]

Nice! Apple is taking over the world.

 

[8CoreWhore]

Why build a data center in such a hot place though? Wouldn't you end up using more power to keep the building cool?

I guess there's less chances of natural disasters there though, no hurricanes or tornadoes to worry about.

Lots of sun for those solar panels.

 

[Rocketman]

Article: Apple earlier this year approached local and state officials about opening one of its data centers in Northern Nevada as part of a 2,200 acre project east of Sparks known as the Reno Technology Park, said Steve Polikalas, one of the principle developers behind the project.

2200 acres is about 3.4 square miles. This is going to be a solar farm.

Article:
Land and Construction $14.6m
Backbone Infrastructure $64.6m
Equipment $1000m

That is a BUNCH of capital investment, mostly not real estate.

I wonder if all of a sudden the bandwidth in Reno for all residents will increase by 10x?

Is that trickle down?

Just Rocketman