Today’s big tech giants are having an impact across the U.S. in more ways than one. Amazon has grown so large that they doubled their workforce just in the last two years. According to a CNBC report, their sales have grown $15 billion year-over-year. One of the needs this has created is in construction. As these companies grow, the area will need more factories, offices and warehouse space. And that equates to big construction projects.
Just recently, Apple announced plans for a new $1 billion dollar campus in Austin, TX. Even while construction is going on, this will cause all types of new businesses to spring up in the area. From coffee houses to convenience stores, anywhere there are larger groups of people, there’s economic growth.
Economic Growth Spreads
As all economists know, these expansions have a massive effect on the surrounding communities where they’re located. It’s no coincidence a new passenger rail service is being built from Orlando to Tampa. The Orlando area is one of the most visited in America due to Disney World. When tourists come from everywhere to visit an area, it just naturally causes development in the area. Though Disney World started as just a theme park back in 1971, it has had an incredible impact on the central Florida region. There are now more businesses, restaurants, arcades, and stores than anyone could have imagined back in the 70’s. In fact, there’s an endless stream of fun things to do in the Orlando area.
Tech Giants Expected to Continue Growing
This has been the situation with the growth of tech giants like Apple and Amazon. Every area they expand into causes new restaurants to open. After all, those employees need to eat every day. They need gas for their cars, so new convenience stores with gas pumps appear in the area. They need work clothes, so new retail stores go in.
This type of growth is organic so that means it will be long-lasting growth. Plus, it does have a deep impact on all the surrounding neighborhoods. Over time, new housing projects are planned. City services must be amped up. Jobs are created. Of course, companies like Microsoft, Apple and Google rarely plan to expand into areas that can’t accommodate them. The new Apple campus in Austin, Texas is a good example.
Austin Seems Like the Perfect Place
Austin was already a thriving community. It’s the fourth best place in America to live. It is home to some of the best live music in the land. It is also known for craft beer breweries and excellent food trucks. There are lakes, rivers, hiking, biking and even a well-known raceway. Apple Computers did their homework well before selecting the Austin area for the $1 billion expansion. The weather is great year-round and the economy was already strong. But the new Apple campus will cause all new growth and exciting opportunities for business owners that can’t even be imagined now.
It could attract researchers. After all, there are a number of great colleges in the Austin area including the University of Texas at Austin. Students and teachers usually create their own culture.
Alabama & Amazon, A Perfect Match
A $325 million Amazon fulfillment center is underway in Bessemer, Alabama. This will be Amazon’s largest project to date. There’s no calculating the incredible impact that this will have on the surrounding areas. Bessemer is a small town located southwest o1f Birmingham. Over the next 20 years, that area will most likely double in size simply due to Amazon’s presence. This will provide better quality jobs for the people there and it will draw developers in to build stores, homes, schools, gas stations and restaurants.
This is a win for everyone. New neighborhoods are built, restaurant chains will expand into these areas. This will create a need for bus and train service, not to mention Uber and Lyft. As large companies like Apple, Microsoft and Google continue growing all over the world, their presence will bring opportunities for new start-ups. Growth like this seems to feed on itself and when we’re talking about building a strong economy, there’s not much of a downside. Unless it’s the impact that humans have on the environment during industrial growth spurts. And that’s a topic for another post.