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With 25,000 promised jobs, Amazon's exit from NYC may scare off tech firms

Amazon's decision to walk away and take with it 25,000 promised jobs could scare off other companies

Press Trust of India 

Amazon logo on the facade of one of their office buildings located in Silicon Valley, San Francisco bay area | Photo: Shutterstock

Amazon jilted New York City on Valentine’s Day, scrapping plans to build a massive headquarters campus in Queens amid fierce opposition from politicians angry about nearly $3 billion in tax breaks and the company's anti-union stance.

With millions of jobs and a bustling economy, New York can withstand the blow, but experts say the decision by the e-commerce giant to walk away and take with it 25,000 promised jobs could scare off other considering moving to or expanding in the city, which wants to be seen as the of the East Coast.

ALSO READ: Amazon drops plan for New York headquarters amid political opposition

“One of the real risks here is the message we send to that want to come to New York and expand to New York,” said Julie Samuels, the executive director of industry group Tech: NYC. “We’re really playing with fire right now.” In November, Amazon selected New York City and Crystal City, Virginia, as the winners of a secretive, yearlong process in which more than 230 North American cities bid to become the home of the Seattle-based company’s second headquarters.

ALSO READ: Lost opportunity? Feeling unwelcome, Amazon ditches plans for New York hub

New York Mayor Bill de Blasio and Gov. Andrew Cuomo heralded the city's selection at the time as the biggest boon yet to its burgeoning tech economy and underscored that the deal would generate billions of dollars for improving transit, schools and housing.

First Published: Sat, February 16 2019. 03:07 IST