Google to Build Data Center in NC

POSTED January 20, 2007

RALEIGH, NC -- North Carolina Gov. Mike Easley announced that Internet search giant Google Inc. plans to locate a new facility in Caldwell County, NC. The company plans to invest up to $600 million to build a data center in Lenoir to support Google's online operations and create as many as 210 jobs during the next four years. The company considered North Carolina in part because of the state Job Development Investment Grant (JDIG).
 
"This company will provide hundreds of good-paying, knowledge-based jobs that North Carolina's citizens want," Easley said. "This is the single largest investment in the state by a company awarded a JDIG grant, and it will help reinvigorate an area hard hit by the loss of furniture and textile jobs with 21st century opportunities."
 
"The data center we're planning to build in Lenoir, North Carolina will help support continued growth in our online services," said Lloyd Taylor, Director of Global Operations, Google Inc. "We look forward to joining the local community and are grateful for the support from the state and local governments throughout our evaluation process."
 
The data center will be Google's second major server facility outside of California. Another is being built in Oregon.

Wages at the Caldwell County, NC facility will vary by job function, but the average wage is expected to be more than $48,300 not including benefits, which is substantially more than the county average of $27,300 without benefits.
 
The state's Economic Investment Committee voted unanimously last month to award a Job Development Investment Grant to the company to facilitate this project. Under the terms of the JDIG agreement approved by the committee, a 12-year grant will be established. During the life of the grant, the N.C. Department of Commerce estimates the project will:
- Generate a cumulative gross state product value of approximately $1.06 billion; and
- Produce a positive, cumulative net state revenue impact of $37.145 million.
 
For each year that the company meets the required performance targets, the state will provide a grant equal to 75 percent of the state personal income withholding taxes derived from the creation of new jobs. If the company creates all of the jobs called for under the agreement and sustains them for 12 years, Google could receive a maximum benefit of $4.8 million. These plans are dependent on the outcome of final negotiations with the state.

Microsoft announced plans earlier this week to build a new data center near San Antonio, TX.


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