Google Investing 1 Billion in New NYC Campus.
Alphabet’s (google) CFO announced in a blog post that it will be expanding its New York City operations. More specially Ruth Porat said they will be investing 1 billion into a new campus, in an effort to more that double its current headcount. Google currently has 7000 employees in New York and hopes to add 7000 more over the next decade. Google signed leases for two buildings, 315 and 345 Hudson Street, and are expected to move in the year 2020. They have also signed a letter of intent for a building on 550 Washington street and are expected to move in by 2022. The combination of these three building will make Google’s new Hudson Square Campus which will be the headquarters for all New York operation. Current divisions of google that exist in New York are Search, Ads, Maps, YouTube and Cloud.
Google expansion into New York seems to be following a trend that is going on in silicon valley. The trend being massive expansion of domestic operations. Originally Amazon announced its HQ2 project and decided on having it in New York and outside Washington D.C. Apple announced that it was building a new office in Austin Texas. Now Google is latest tech giant to announce an expansion, but it probably won’t be the last. These huge expansion by these tech giants show how intense competition is among them and the fear they have of rivals gaining a competitive advantage. That is why you are beginning to see the emergence of a multi-point competition in the tech industry similar to that of the auto industry. So if one tech giant makes a move expect the others to follow.