Saturday, April 6, 2019

Yes, Virginia, there is an HQ2. Never mind the beating that Amazon took with its failed effort in New York.(AMZN)

In March 2018's "Jeff Bezos Will Probably Consolidate His Power Bases In The Washington D.C. Area (AMZN)" I had a throwaway line:
And, as noted on the map above, the possible location is also conveniently close to Mr. Bezos' house, although in his case the choice is not as clear-cut as when the then-head of supercomputer manufacturer Cray Research was asked where the company might relocate its headquarters answered: "Draw a circle with a twenty mile radius around the CEO's home."

Mr. Bezos owns five houses and 300,000 400,000 acres in Texas.
If I was smart rather than a smart-ass I would have optioned some real estate in Amazon's VA hood.

From c|net, April 5:
After fleeing New York, Amazon finds warmer welcome for other HQ2
It was business as usual in Long Island City last week. Catering and moving trucks buzzed in and out of a waterfront neighborhood. One worker manned a forklift on the sidewalk while another nearby spray-painted a metal frame. 

You wouldn't know it from standing there, but just weeks earlier this quiet industrial block in Queens was slated to become a 25,000-employee campus for Amazon -- that is, until protesters and local politicians helped kill the project.

Meanwhile, at Crystal City, in Virginia's Arlington County, it's a very different scene, where demolition has already started in preparation for construction of Amazon's surviving 25,000-employee development. Local activists are raising concerns about the Virginia project, but -- unlike in New York -- there seems to be far less vitriol.

When the New York project fell apart in February, focus quickly shifted to Crystal City, where plenty of onlookers wondered if both developments could fail. But according to development experts, local politicians and demographic data, the Virginia project was always a better fit and more critical to Amazon's future than the New York site. Not only that, but walking away from both projects would be an even bigger embarrassment for the company. For those reasons, it seems likely Amazon will stay the course in Crystal City, even if more protests or challenges bubble up.
It also seems like a keeper for the locals, despite some grumbling.

"This is a game-changer for Arlington," said Stephen Fuller, a professor at George Mason University's Schar School of Policy and Government. "The tax base is eroding; this turns that around."

The future of HQ2
Amazon's massive expansion project, dubbed HQ2, was first introduced in September 2017 and enjoyed months of fanfare as hundreds of municipalities vied for the development in hopes of revitalizing their communities and bringing high-paying tech jobs. But after the winners -- Long Island City and Crystal City -- were announced in November, the public response in New York quickly turned negative amid concerns about strained infrastructure, displacement and corporate welfare.

Amid a broader backlash against the tech industry and its business practices, HQ2 has turned into an albatross for Amazon. The company now needs to work through its last standing HQ2 development with far less cheering from the public and while working to repair its reputation, which took a beating in New York. If it manages to do both, HQ2 may become a long-term success, despite a botched and stumbling start.
Amazon didn't respond to a request for comment for this story.

What makes the Virginia project different
When Amazon first unveiled its plans for HQ2, the project was presented as a single 50,000-employee site that would be equal to its existing headquarters in Seattle. But the company ultimately announced two 25,000-employee projects instead, saying the split would make it easier to hire top tech talent, and quickly. A 5,000-employee site was announced for Nashville, too...
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If interested see also:
May 2018
Inside Jeff Bezos’ DC Life

"How does the world’s richest man renovate? Floor plans reveal Jeff Bezos’ big ideas for $23M D.C. mansion"

Cloud Computing: The Pentagon Is Going To Award a Contract Worth Up to $10 Billion, Amazon Wants It, So Does Google (AMZN, GOOG)