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Amazon acquires 400 acres near new Intel development in Ohio

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Re: Amazon acquires 400 acres near new Intel development in Ohio

#11

Is Ohio becoming tech heartland?

Hard to say yet, but it isn't impossible and the triangle between Pittsburgh, Cleveland, and Columbus isn't the worst option. There are a bunch of universities in range to draw talent, including Carnegie Mellon, OSU, and some smaller state and private schools. The land is cheap and the cost of living is pretty low.

Re: Amazon acquires 400 acres near new Intel development in Ohio

#12
post #6

It's not obvious to me why it would be very beneficial to have a data center close to an Intel plant, but it sounds a bit like it might not be a coincidence that they're close together. If someone knows why this pairing makes sense, care to explain? (The closest thing I can think of is low delivery costs on electronics, but that seems really tiny compared to basically anything else that matters here, and it's not lik…

Probably useful for Amazon to leverage:

* similar subsidies that Intel benefits from

* public resources that Intel benefits from

* population/education/employees/housing that Intel draws to work there

Re: Amazon acquires 400 acres near new Intel development in Ohio

#14
Interesting. I associate the region with air pollution and carbon-intensive power. Ohio is near the bottom of the 50 states in wind and solar energy. A few years ago I would not have said Ohio was going to attract so much datacenter construction, but now every big datacenter operator is there.

Re: Amazon acquires 400 acres near new Intel development in Ohio

#15
post #6

It's not obvious to me why it would be very beneficial to have a data center close to an Intel plant, but it sounds a bit like it might not be a coincidence that they're close together. If someone knows why this pairing makes sense, care to explain? (The closest thing I can think of is low delivery costs on electronics, but that seems really tiny compared to basically anything else that matters here, and it's not lik…

Most likely its just that the county officials there are willing to clear red-tape and expedite zoning/permitting/inspection for large corps looking to place high tech jobs there. Possibly negotiate property tax breaks too.

This is the simplest and most likely answer, not everything in tech is a big masterminded ploy

Re: Amazon acquires 400 acres near new Intel development in Ohio

#16
post #6

It's not obvious to me why it would be very beneficial to have a data center close to an Intel plant, but it sounds a bit like it might not be a coincidence that they're close together. If someone knows why this pairing makes sense, care to explain? (The closest thing I can think of is low delivery costs on electronics, but that seems really tiny compared to basically anything else that matters here, and it's not lik…

It's a coincidence in the sense that there's probably not a particular reason for Amazon to want to be next to Intel.

It's not a coincidence in the sense that Ohio recently passed a bunch of tax incentives for building "megaprojects" [1], and New Albany in particular seems to be investing heavily in the infrastructure that would be required for such projects. So it's not surprising they both ended up there.

[1] https://www.pwc.com/us/en/services/tax/library/ohio-modifies...

[2] https://spectrumnews1.com/oh/columbus/news/2022/08/04/new-al...

Re: Amazon acquires 400 acres near new Intel development in Ohio

#17
post #6

It's not obvious to me why it would be very beneficial to have a data center close to an Intel plant, but it sounds a bit like it might not be a coincidence that they're close together. If someone knows why this pairing makes sense, care to explain? (The closest thing I can think of is low delivery costs on electronics, but that seems really tiny compared to basically anything else that matters here, and it's not lik…

Most likely its just that the county officials there are willing to clear red-tape and expedite zoning/permitting/inspection for large corps looking to place high tech jobs there. Possibly negotiate property tax breaks too.

That would be my assumption as well: they're relatively similar in what they're looking for many of the same things: reasonable prices for land, water, electricity, etc., amenable local government, and reasonable housing + workforce. Intel's going to need more people but otherwise I wouldn't be at all surprised to learn that both lists of candidate locations ended up being very similar.
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