Amazon has mentioned this in a statement that it will not construct a new headquarters in New York, quoting severe opposition from state and local politicians.
This intense turnabout arises just months after the firm named New York City as one of two sites selected for major development over the next decades to come.
City and state leaders had also agreed upon to provide about $3bn (£2.3bn) in incentives to secure that investment in the city.
Those subsidies had provoked fierce backlash in some quarters.
Amazon said its ideas to form a new headquarters needed “positive, collaborative relationships with state and local elected officials who will be supportive over the long term”.
It said: “A number of state and local politicians have made it clear that they oppose our presence and will not work with us to build the type of relationships that are required to go forward with the project we and many others envisioned.
We are disappointed to have reached this conclusion.”
In November, Amazon also broadcasted its decision to spend about $2.5bn and add more than 25,000 “high-paying” jobs at campuses in New York and near Washington DC over the next twenty years.
This update put an end to the 14-month search for a new site that saw cities and towns across North America competing to encourage the e-commerce giant.
In New York, Governor Andrew Cuomo and Mayor Bill DeBlasio supported the project, which Amazon said would generate more than $10bn in new tax revenue in New York the city itself.
Polls had found that a majority of people living in New York also sustained Amazon’s plan.
However, this idea of constructing headquarters in the city received obstruction from unions, members of the City Council and others, including newly elected Rep Alexandria Ocasio-Cortez, angry over the billions in incentives promised to one of the world’s most valuable companies.
The chance of rising rents, which have stimulated tensions in Amazon’s hometown of Seattle, were also a concern.
Opponents celebrated as Amazon’s decision was broadcasted.
“When our community fights together, anything is possible, even when we’re up against the biggest corporation in the world,” Council Member Jimmy Van Bramerstated.
“Defeating an unprecedented act of corporate welfare is a triumph that should change the way we do economic development deals in our city and state forever.”
Amazon supporters believed the critics were short-sighted. They said that these critics should have been worried about the long-term economic consequences as populist messages appear to gain traction.
“The New York Senate has done tremendous damage,” Gov Cuomo was seen to be claiming. “They should be held accountable for this lost economic opportunity for the city.”
Your email address will not be published. Required fields are marked *
21 May, 2019