SEATTLE NEWS ARCHIVES & FEATURES

Reading between the lines of Amazon’s HQ2

Sep 14, 2017, 6:02 AM

Amazon, package thief, Prime Day...

(AP Photo/Patrick Semansky)

(AP Photo/Patrick Semansky)

Perhaps no one in Seattle watches the Northwest tech industry closer than GeekWire’s Todd Bishop. As he watched Amazon announce its plans for a second headquarters outside of Seattle, he noticed something between the lines.

“I think this is a wake-up call for the leaders of Seattle to step back and say, ‘OK, are we going to be the kind of place that lets these big companies get away? Or are we going to be the kind of place that creates the infrastructure, the housing, the transportation that these companies need? And the rest of the community needs,” Bishop told KIRO Radio’s Ron and Don. “And I do think that Amazon was, in part, sending a message. There’s a lot more to it, but that is one of the things that they are doing.”

RELATED: How NIMBYs could harm Seattle’s tech boom

As of Tuesday, Amazon has said that it has no “front-runners” for cities to expand into and that all the cities they have heard from across the nation are being considered equally.

One of those cities is reportedly Tacoma, just south of Seattle. Bothell and Everett have also been mentioned. They all boast much of the requirements Amazon has asked for: near an international airport; near major highways; access to mass transit. Not to mention the many empty properties ripe for development throughout Tacoma.

Washington’s Governor Jay Inslee has even reached out to the company to “better understand” its needs for HQ2.

But there is actually much more to Amazon’s HQ2 announcement than the mere requirements it posted, according to Bishop.

Amazon: Between the lines

Amazon is a major contributor to the region’s growth, drawing thousands of new workers to the area and boosting the economy. There are some, however, who have argued that Seattle’s relationship with tech companies could be more fragile than many believe.

Windermere economist Matthew Gardner used Amazon as an example of how a big company could leave if Seattle couldn’t reign in the rising cost of living — which contributes to how much companies have to pay employees. That’s a considerable cost of doing business in town.

Former Microsoft CEO Steve Ballmer also had similar warnings of an “unfavorable business climate” in Seattle, noting the recent efforts to establish an income tax on the city’s top earners. Councilmember Kshama Sawant has been vocally opposed to that argument.

Amid this back-and-forth, Amazon announced that it is seeking a city equal to Seattle to build a $5 billion second headquarters in North America. Amazon is asking for cities to bid on the plan.

Bishop notes in a recent column that Amazon doesn’t have to ask for such bids, and the announcement is partly a “publicity stunt.” It knows exactly which cities can provide what it needs. Therefore, the announcement wasn’t just about putting the word out. It was about showing Seattle leaders that it can take its business elsewhere.

“I certainly think that’s the subtext, yes,” Bishop said. “If you read through, one of the points in their FAQ – frequently asked questions – that caught my attention was a quote about why they are doing this. Essentially, they said they are looking for a community that will welcome and work with them. To me, the implication of that was they are not getting that in Seattle.”

Assistant Professor Christopher Hayes uses the heat of his finger to stimulate a colony of bedbugs ...

Associated Press

Bedbugs can cause people to lose sleep — and blood. Here’s what to do about them

NEW YORK (AP) — Bedbugs are sometimes called the vampires of the insect world — hiding during the day and coming out at night to feast on human blood. Generations of children have been told: “Sleep tight. Don’t let the bedbugs bite.” Well, bad news: Bedbug infestations are increasing. This is the time of year […]

6 minutes ago

This satellite image released by NOAA shows Tropical Storm Lala over the Pacific Ocean, near Hawaii...

Associated Press

Hawaii’s Big Island lashed by rain and wind as Tropical Storm Lala closes in

HONOLULU (AP) — Tropical Storm Lala was already whipping and soaking Hawaii’s Big Island early Saturday, and was expected to strengthen into a hurricane as it approaches land. The National Hurricane Center issued a rare hurricane warning for the island, where it would be the first to make landfall in 155 years. Forecasters said higher […]

26 minutes ago

5-year-old dead large animal attack aggressive dog...

Jack Bilyeu, KIRO 7 News

5-year-old dead after “large animal attack” in Graham; aggressive dog shot and killed

A five-year-old girl is dead following a large animal attack in Graham. Deputies shot and killed an aggressive dog that was found near her body.

32 minutes ago

construction roadways weekend...

Paola Tristan Arruda, KIRO 7 News

Prepare for another weekend of major construction on three roadways

Travelers in the Puget Sound region should prepare for delays and road closures this weekend as construction takes place across I-405, SR 99, and I-5.

40 minutes ago

FILE - The USS Gerald R. Ford departs from Souda Naval Base near Chania on the island of Crete, Gre...

Associated Press

US pulls last aircraft carrier in Asia as Trump focuses on Iran and the Western Hemisphere

WASHINGTON (AP) — President Donald Trump’s war against Iran is stretching the limits of U.S. aircraft carriers and leaving the western Pacific without one of the key American warships as China shows more signs of aggression. The USS George Washington is departing the Pacific and expected to replace the USS Abraham Lincoln in the Middle […]

44 minutes ago

Supporters cheer at a Democratic General Election Kickoff Rally at Renaissance High School Friday, ...

Associated Press

Democratic primary turnout has soared in some states. Can it carry over to November?

WASHINGTON (AP) — Democratic voters are showing up for this year’s primaries in numbers not seen in decades, a pattern emerging across several states that has the party optimistic about its prospects in November when control of Congress will be at stake. In Tuesday’s primary, Wisconsin Democrats cast nearly 800,000 ballots, their highest total for […]

1 hour ago

Reading between the lines of Amazon’s HQ2