Apple plans new $1bn campus plus big US job growth

The iPhone giant is to spend $1bn and add 5,000 new jobs in Texas, plus more jobs in Seattle, San Diego and Culver City.
Written by Steve Ranger, Global News Director

Apple has announced plans for a major expansion of its operations in Austin, including an investment of $1bn to build a new campus site.

The smartphone giant also said it is planning new sites in Seattle, San Diego and Culver City and will expand its operations in Pittsburgh, New York and Boulder, Colorado over the next three years.

Apple said it added 6,000 jobs to its US workforce in 2018 and now employs 90,000 people, with plans to add 20,000 jobs in the US by 2023. Apple said that in 16 states, it employs over 1,000 people.

Apple CEO Tim Cook said: "Talent, creativity and tomorrow's breakthrough ideas aren't limited by region or zip code, and, with this new expansion, we're redoubling our commitment to cultivating the high-tech sector and workforce nationwide."

Apple's new Austin offices, located less than a mile from its existing facilities, will initially accommodate 5,000 additional employees, with the capacity to grow to 15,000 -- making Apple the largest private employer in Austin.

Jobs created at the new campus will include a broad range of functions, including engineering, R&D, operations, finance, sales, and customer support. Apple already has 6,200 people in Austin -- it has been operating there for 25 years -- making it the largest office outside of the Cupertino headquarters.


Apple's Reno data center is one marked for expansion.

Image: Apple

Apple also said it plans to grow the number of employees it has in the US over the next three years, expanding to over 1,000 employees in each of Seattle, San Diego and Culver City, and adding "hundreds" of new jobs in Pittsburgh, New York, Boulder, Boston and Portland, Oregon.

SEE: How to optimize the smart office (ZDNet special report) | Download the report as a PDF (TechRepublic)

The company recently opened its newest office in Nashville, Tennessee and Apple's Miami office is projected to double in size.

Apple said it plans to invest $10bn in US data centers over the next five years, including $4.5bn this year and next. Apple's data centers in North Carolina, Arizona and Nevada are currently being expanded. In Iowa, preparations are underway for the company's newest data center in Waukee.

Image: Apple

The company also argues that it can take the credit for creating and supporting more than 2 million jobs in all 50 states, including workers at 9,000 suppliers and manufacturers in the US. It said the app ecosystem is responsible for more than 1.5 million American jobs.

Apple is already the largest taxpayer in the US and earlier this year said it expects to invest over $30 billion in capital expenditures in the US over the next five years.

Apple has been under pressure from President Trump to bring iPhone manufacturing to the US. "Make your products in the United States instead of China. Start building new plants now," the President said in a tweet in November amidst concerns that tariffs introduced as a result of his trade war with China could push up the cost of iPhones.

While it seems unlikely that Apple will move iPhone manufacturing back to the US, the tech giant is also making clear that it does make a significant contribution to jobs in the US, especially in the form of high value engineering and R&D jobs. It's also a reflection of Apple's optimism for the future, considering that the smartphone market appears to be struggling.


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