Amazon wants U.S. cities to bid for its second major headquarters

Amazon wants U.S. cities to bid for its second major headquarters

The City of Chicago plans to join the bid after Amazon, an online retailer store, announced the decision to open its second headquarters in a North American metropolitan area Thursday. Cary Moon said she'd "be happy to work with Amazon to make Seattle more affordable, improve our transit, and invest in quality public education for everyone", but that she's "not interested" in a Boeing-esque "bidding war" if Amazon "isn't serious about helping to pay for the impacts of their rapid growth on our city".

The company estimates it added $38 billion to Seattle's economy between 2010 and 2016. Is Seattle continuing to hold Amazon's growth an option?

Today, Amazon employs an estimated 40,000 employees in their home office just North of Seattle's downtown area.

The deadline for bids is October 19.

Amazon however, does not seem to want to do as his colleagues GAFA: it is not certain that the group of Seattle think of the Silicon Valley to settle. By 2022, the company is expected to occupy 12 million square feet in the city, up from 8 million now.

The Whole Foods headquarters in Austin is far smaller than what Amazon said it's looking for - the flagship hub is also a full-service grocery store with shoppers who compete for parking spaces.

Pittsburgh: "With an unmatched portfolio of technological talent and intriguing development parcels, Pittsburgh is uniquely positioned to submit a winning bid for Amazon's facility", Mayor William Peduto said in a statement to CNN.

So what will it take to get the Amazon headquarters to be built here in St. Louis?

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Even if Amazon were able to expand indefinitely in a single location, a second headquarters brings diversification and risk mitigation.

"We encourage testimonials from other large companies", it said in its solicitation.

The company said it wants its new headquarters to be within 30 miles of a city, 45 miles from an airport and near highways and mass transit.

According to the RFP, Amazon is looking to locate its HQ2 in an urban or suburban location with a population of at least one million, and be close to communities where it can attract talent. "Adding a second headquarters here is definitely a move we welcome". It has had no obvious problem expanding and hiring here over the last decade, and has done so without much in the way of incentives-as have the likes of Weyerhaeuser and Expedia, both of which chose to relocate their corporate bases to Seattle in recent years, alongside more than 30 Fortune 500 companies that have established engineering outposts in the metro area.

The U.S. Census estimated Fresno's population at 522,053 as of July 1 of a year ago, but it's not clear if populations of Clovis and other, nearby communities might be considered in Amazon's consideration process.

Amazon's shares were up 1 percent at $978 on Thursday. But the primary motivation for HQ2 most likely is a bit more down to earth: Amazon apparently has outgrown Seattle. "City staff are working with Toronto Global to make sure we put together an attractive bid for this opportunity". It's inciting competition to drive down its costs, passing the savings to its customers-perhaps at the expense of local taxpayers.

Cities have until October 19 to apply through a special website, and Amazon said it will make a final decision on HQ2 next year.

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