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.”

President Donald Trump speaks during an East Room event at the White House celebrating Hispanic Her...

Associated Press

Trump and Vance hit the campaign trail in deep-red areas where GOP candidates seek a boost

WASHINGTON (AP) — President Donald Trump and Vice President JD Vance will both hit the campaign trail on Thursday, but they will be heading to heavily Republican areas to shore up lagging enthusiasm in their party ahead of next month’s midterm elections. Trump’s travel on Thursday to Texas and Oklahoma kicks off what the president […]

52 minutes ago

Attorney General Todd Blanche speaks during a news conference at the Department of Justice, Wednesd...

Associated Press

Trump’s campaign against noncitizen voting demonstrates it’s rare and not enough to swing elections

WASHINGTON (AP) — The Trump administration’s campaign to root out noncitizen voting is demonstrating what critics of President Donald Trump’s election conspiracy theories have long argued — that it’s incredibly rare, difficult to prove and has not been shown to change the outcome of elections. The administration has dedicated enormous resources to what election experts […]

56 minutes ago

FILE - President Barack Obama talks to two young boys during a Native American dance on the Standin...

Associated Press

Presidents rarely visit Indian Country. Trump’s planned Choctaw Nation rally will be the latest

ALBUQUERQUE, N.M. (AP) — President Donald Trump is holding a campaign rally on the Choctaw Nation of Oklahoma on Thursday, putting him in the company of just a handful of U.S. presidents who have visited tribal nations while in office. The rally is part of Trump’s recent campaign push through deep red states, where he […]

60 minutes ago

Acting Secretary of Labor Keith Sonderling arrives before an event to mark the launch of the Americ...

Associated Press

Senate approves Trump’s pick to lead the Labor Department

WASHINGTON (AP) — The Senate confirmed President Donald Trump’s pick to lead the Department of Labor on Wednesday just before heading home to campaign for the midterm elections. Keith Sonderling, who was confirmed 47-41, has been the acting secretary since April and has served in multiple roles within the department over the course of his […]

2 hours ago

FILE - A sign is displayed for the Northern Arizona University campus in Flagstaff, Ariz., Feb. 2, ...

Associated Press

Ex-fraternity leader at Arizona university gets jail time after pledge died of alcohol poisoning

FLAGSTAFF, Ariz. (AP) — A former Northern Arizona University fraternity leader was sentenced to two months in jail Wednesday for his role in a hazing that led to the death of a pledge. Carter Eslick, 20, also received three years of supervised probation during a sentencing hearing in Coconino County Superior Court. Eslick had pleaded […]

3 hours ago

Iran's Foreign Minister Abbas Araghchi speaks to the media during the 81st session of the United Na...

Associated Press

Rubio orders visiting Iranian UN delegation to leave NYC ahead of schedule

WASHINGTON (AP) — Secretary of State Marco Rubio ordered Iran’s foreign minister and his delegation to the U.N. General Assembly to leave New York earlier than they had planned, two U.S. officials said Wednesday. The Trump administration had granted visas, albeit with severe restrictions, to Iran’s president and foreign minister and their delegations to attend […]

3 hours ago

Reading between the lines of Amazon’s HQ2