Apple To Build £1bn Data Centre In Iowa

Apple Apple Iowa deal data storage centres Tim Cook Tim Cook investment promise economic development project tax breaks Iowa data centres Apple investment

"We see it in Iowa's world-class power grid and a focus on renewable energy that's a model for the entire nation", Cook said.

The Iowa data center will be joining a nationwide web of Apple data centers that range from Newark, California; Reno, Nevada; Maiden, North Carolina; and Prineville, Oregon.

Apple Inc., the technology company with iPhone smartphone as its flagship product, has announced its plan to build a new data centre in Iowa, a midwestern U.S. state.

Construction of the two new data centres is expected to begin in early 2018, on land the size of 2,000 acres (or 8.09 square km). Google, Facebook, and Microsoft already have data centers operating in the state.

The exact location has not yet been disclosed, but it will be within the city limits of Waukee, a booming suburb neighboring Des Moines.

Iowa approved a deal Thursday to give Apple $208 million in state and local tax breaks to build two data storage centers near Des Moines and to create at least 50 jobs - a pact that critics quickly panned.

The Apple CEO promised an investment of $100 million for the just established public improvement fund that will be used for new community development and include revitalizing streets, parks and libraries.

Waukee Mayor Bill Peard is thankful of the new project since it "will bring with it high-quality jobs and important infrastructure developments for the city". Apple already supports 10,000 jobs in Iowa, many of whom are developers, Cook said. Apple will receive a $19.65 million investment tax credit for creating 50 jobs and more will be created during construction.

"Data centers like this new facility are critical to Apple's operations and they make up the backbone of America's innovation infrastructure", Cook said.

At a time when government officials are partnering with companies to boost employment, Apple's agreement with Iowa lawmakers highlights another reason states are courting businesses with colossal discounts: Corporate investments can help rural communities afford to grow. They'll get wages, they will spend money in Waukee or the area.

The data center will support 157 jobs paying $7.8 million in wages, according to IEDA.

The bulk of the costs, US$620 million, will go toward construction.

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