First English Daily Published From The Saudi Capital | 19-09-2017 18:08

Apple to build Iowa data centre, get US$207.8m in incentives

A woman is reflected in a Apple store logo in San Francisco, California, U.S., August 21, 2017. REUTERS
2017-08-25 12:48:50

    Apple Inc will build a US$1.375 billion data centre in Waukee near Des Moines, Apple and Iowa officials said on Thursday, with US$207.8 million in incentives approved by the Iowa Economic Development Authority.

Apple will purchase 2,000 acres (8.09 square km) of land in Waukee to build two data centres. The company will receive a US$19.65 million investment tax credit for creating 50 jobs. There will be other jobs created during construction, but no numbers have been given yet.

Chief Executive Officer Tim Cook is slated to speak in Des Moines later Thursday.

The bulk of the subsidy is a planned US$188.2 million property tax abatement of 71 percent over 20 years provided by the city of Waukee, according to economic development officials.

The Iowa data center will join Apple facilities in California, Nevada, Oregon and North Carolina, which also host services such as iCloud and Apple Music. Facebook, Alphabet's Google and Microsoft also maintain data centers in Iowa.

Apple will spend US$110 million to acquire and prepare the land for its data centers in Iowa, according to economic development officials. The bulk of the costs, US$620 million, will go toward construction. Apple will spend US$600 million on computer equipment, with the remaining US$45 million going toward other equipment.

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