Apple Investing $300 Million in Austin, Texas to Add 3,600 More Workers

The State of Texas today announced that Apple has committed to spend $304 million to expand its operations in Austin, seeking to add 3,600 employees to its facilities there.

The new campus will more than double the size of Apple's workforce in Texas over the next decade, supporting the company's growing operations in the Americas with expanded customer support, sales and accounting functions for the region. In exchange for Apple's commitment to create these new jobs in Texas, the state has offered Apple an investment of $21 million over ten years through the Texas Enterprise Fund (TEF).


Apple's campus in Austin, Texas (Source: Flickr/The Pug Father)

While Apple's Austin campus focuses primarily on customer support and other administrative functions, it does also house some engineering functions primarily related to chip design. Samsung's chip factory where it produces Apple's A-series chips for its iOS devices is also located in Austin and recently underwent a major expansion itself to support Apple's products.

Update: The City of Austin has also proposed an $8.6 million grant investment in the project should Apple meet certain performance metrics presumably tied to campus development and hiring. Apple is required to invest $56.5 million in new facilities and equipment by the end of 2015, with an additional $226 million investment coming by the end of 2021. Apple has also committed to retaining its existing 3,100 jobs in Austin and adding at least 3,635 new jobs, with yearly hiring targets for each of the ten years following the opening of its Phase I expansion.

Top Rated Comments

(View all)
Avatar
113 months ago
I would prefer to keep the jobs in the United States. If the jobs must go to a third world country, Texas is as good as any.
Score: 13 Votes (Like | Disagree)
Avatar
113 months ago
Austin FTW
Score: 8 Votes (Like | Disagree)
Avatar
113 months ago
So for anyone screaming "Buy American" - this is the face of globalization. Jobs will go where the skills and price are at equilibrium. Manufacturing in Asia (no, China is many times not the cheapest), higher value-added functions in the US, for example.

I don't hear anyone complaining about these jobs coming/staying in the US, even though they support international markets.
Score: 6 Votes (Like | Disagree)
Avatar
113 months ago

Interesting they had to bribe them $21 million to do it, though. With $97.6 billion cash on hand and a market cap of over $500 billion, Tim Cook probably has $21 million stuck between the cushions in his couch.


That's how business is run. It's quite common for cities or states to incentivize big business with tax exemptions, building pledges, or other perks. It's not a "bribe", but simple negotiation. The $21 million will easily be put back into the local economy through the jobs created, the taxes paid out by employees, and the other business generated by this expansion.
Score: 5 Votes (Like | Disagree)
Avatar
113 months ago
Anyone who is surprised about this and wonders why Austin, Texas, has no clue about the tech industry in Texas. Just in the Austin area alone you have Apple, Microsoft, Dell to name a few. Up the road a few hours north you've got Microsoft, RIM, IBM. The expansion in Austin makes perfect sense.
Score: 4 Votes (Like | Disagree)
Avatar
113 months ago

Why does Texas need to give Apple a 21million break?

These types of subsidys make no sense. Yeah, I know....they are used to bribe companies to create jobs in an area.

No different than people subsidizing sports teams through tax increases.

An inefficient use of taxpayer money.


Most in Texas would disagree with you. Austin's lifeline is that big business that allows for its strange and unique culture. The state will make that money back as it has proven time and time again.
Score: 4 Votes (Like | Disagree)

Top Stories

Apple References Unreleased 2020 16-Inch MacBook Pro in Boot Camp Update

Monday October 26, 2020 8:42 am PDT by
Last week, Apple released an update for Boot Camp, its utility for running Windows on a Mac. While this update would typically be unremarkable, several of our readers noticed that the release notes reference an unreleased 2020 model of the 16-inch MacBook Pro. While this could easily be a mistake, the 16-inch MacBook Pro is nearly a year old, so it is certainly a worthy candidate for a...

Google Reportedly Pays Apple $8-12 Billion Per Year to be Default iOS Search Engine

Sunday October 25, 2020 2:59 pm PDT by
The United States Justice Department is targeting a lucrative deal between Apple and Google as part of one of the U.S. government's largest antitrust cases, reports The New York Times. On Tuesday, the Justice Department filed an antitrust lawsuit against Google, claiming the Mountain View-based company used anticompetitive and exclusionary practices in the search and advertising markets to ...

iPhone 12 Pro Allows You to Measure Someone's Height Instantly Using LiDAR Scanner

Saturday October 24, 2020 11:12 am PDT by
iPhone 12 Pro models feature a new LiDAR Scanner for enhanced augmented reality experiences, but the sensor also enables another unique feature: the ability to measure a person's height instantly using the Measure app. You can even measure the seated height of a person in a chair, according to Apple. When the Measure app detects a person in the viewfinder, it automatically measures their...

MagSafe Charger Only Charges at Full 15W Speeds With Apple's 20W Power Adapter

Monday October 26, 2020 3:38 pm PDT by
Alongside the iPhone 12 and 12 Pro models, Apple introduced a new MagSafe charger that attaches to the magnetic ring in the back of the devices, providing up to 15W of charging power, which is double the speed of the 7.5W Qi-based wireless charging maximum. Apple does not provide a power adapter with the $39 MagSafe charger, requiring users to supply their own USB-C compatible option. Apple...

Early iPhone 12 Tests Show Ceramic Shield is Stronger and More Scratch Resistant Than iPhone 11 Glass

Friday October 23, 2020 1:21 pm PDT by
Apple's new iPhone 12 models are protected by a Ceramic Shield cover glass that has nano-ceramic crystals infused right into the glass to improve durability. According to Apple, Ceramic Shield offers four times better drop protection than the glass used for the iPhone 11 models. YouTube channel MobileReviewsEh conducted some tests on the iPhone 12 using a force meter to compare its performance ...

iPhone 12 Six-Foot Drop Test Results: Ceramic Shield More Durable But Not Damage Proof

Monday October 26, 2020 5:00 am PDT by
Apple's new iPhone 12 and iPhone 12 Pro feature a new Ceramic Shield screen that Apple says offers 4x better drop performance. To test that claim, Allstate Protection Plans put the two models through a range of breakability tests and recorded the results. In a face down sidewalk drop test at six feet, the iPhone 12 suffered small cracks and scuffed corners and edges, leaving sharp grooves in ...

Bloomberg: New AirPods and AirPods Pro Coming in 2021, AirPods Studio Delayed, Third HomePod Model Also Possible

Monday October 26, 2020 3:34 am PDT by
Apple plans to update its AirPods line next year with two new models including third-generation AirPods and second-generation AirPods Pro, according to a new report from Bloomberg. The Cupertino, California-based technology giant is working on two new models: third-generation entry-level AirPods and the second version of the AirPods Pro earbuds, according to people familiar with the plans. ...

Report: Apple Silicon iMac Featuring Desktop Class 'A14T' Chip Coming First Half of 2021

Tuesday October 27, 2020 4:14 am PDT by
The first iMac powered by Apple Silicon is set to arrive in the first half of next year and will feature a desktop class "A14T" chip, according to Chinese-language newspaper The China Times. Codenamed "Mt. Jade," Apple's first custom-made desktop processor will be twinned with its first self-developed GPU, codenamed "Lifuka," both of which are being produced using TSMC's 5-nanometer process, ...

iPhone 11 Pro Outlasts iPhone 12 and 12 Pro in Extensive Battery Life Test

Friday October 23, 2020 8:36 am PDT by
Arun Maini today shared a new side-by-side iPhone battery life video test on his YouTube channel Mrwhosetheboss, timing how long the new iPhone 12 and iPhone 12 Pro models last on a single charge compared to older models, with equal brightness, settings, battery health, and usage. All of the devices are running iOS 14 without a SIM card inserted. In the test, the iPhone 11 Pro outlasted both ...

Apple Warns MagSafe Charger Can Leave Circular Imprints on Leather Cases

Friday October 23, 2020 3:23 pm PDT by
If you keep your iPhone in a leather case while charging with Apple's new MagSafe Charger, the case might show circular imprints from contact with the accessory, according to a new Apple support document published today. Apple's leather cases for the iPhone 12 and iPhone 12 Pro are not available until November 6, but a MacRumors reader has already shared a photo of a circular imprint on...