Amazon scraps plan to build NY headquarters

Amazon cancels plans to open headquarters in New York citing opposition from local politicians

Amazon cancels plans to open headquarters in New York citing opposition from local politicians

At a protest against Amazon HQ2.

Amazon intends to proceed with plans to build half of HQ2 in Northern Virginia, but other would-be Amazon paramours have already begun to line up to catch Jeff Bezos and company on the rebound.

Amazon had planned to have 700 employees in NY as part of the HQ2 project by the end of the year and did not plan to hit 25,000 in Queens for 10 years. Both locations were selected from over 200 bidders and were expected to receive $2.5 billion in investments from the e-commerce giant. The Nashville office is expected to have 5,000 employees. "I think most people have a positive perception of Amazon, despite what folks in the tech industry, or folks sitting on Mercer at 5 o'clock, may think of the company".

The company said on Thursday it was canceling its plans to build in Long Island City in Queens after facing fierce opposition from local politicians, including Congresswoman Alexandria Ocasio-Cortez.

Amazon's search for a second headquarters, which it described as HQ2, was deemed a massive, year-long public relations success, garnering worldwide publicity and interest from cities across the United States. Amazon will also continue growing across its 17 corporate offices and tech hubs in the USA and Canada, and will still expand its footprint in the New York City area, where it now employs about 5,000 workers.

As soon as the Washington Post reported February 8 that Amazon was reconsidering its NY plans, Illinois Gov.

Amazon announced its plans for a new secondary campus late a year ago, but said political reaction caused it to reconsider. Lawmakers resented being excluded from negotiations for the deal, and decried the US$3 billion in government subsidies offered to a company run by the world's richest man, while the city itself is facing budget cuts.

Amazon now employs more than 5,000 people across New York City.

The union has been a frequent critic of Amazon's working conditions and has partnered with Amazon warehouse workers in Staten Island in their push to unionize.

BNN Bloomberg's Amanda Lang discusses what losing out on Amazon's HQ2 means for Toronto after the tech giant chose Virginia and NY for their new headquarters.

Amazon is launching two other expansion projects in Arlington, Virginia, and Nashville, Tennessee.

But the plan has strong support from the population as a whole. Cuomo said last week.

De Blasio and Gov. Andrew Cuomo received thanks twice in the Amazon statement. "With this new investment, Google will now have a home in 24 total states, including data centers in 13 communities".

Mark Cohon, chair of Toronto Global, which led the Toronto bid for Amazon's HQ2, joins BNN Bloomberg to provide his reaction to the city losing out and his outlook for Canada's tech scene.

"Defeating an unprecedented act of corporate welfare is a triumph that should change the way we do economic development deals in our city & state forever", Van Bramer wrote on Twitter after Amazon announced its decision.

"After much thought and deliberation, we've decided not to move forward with our plans to build a headquarters for Amazon in Long Island City, Queens", Jodi Seth, an Amazon spokeswoman, said in a statement. Inc. said it's pulling out of a plan to build a headquarters in New York City, after a backlash from some residents and politicians. In November 2018, Forrester estimated there were 330,000 tech workers in the New York City region (23,000 more than in the Bay Area).

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