Amazon.com is reconsidering locating part of its new headquarters in NY because of local opposition, the Washington Post reported on Friday, citing two people familiar with the global retailer's thinking.
Sources familiar with the matter told The Washington Post, which is owned by Amazon founder and CEO Jeff Bezos, that company executives have already held internal talks to reassess the situation and explore alternative options.
Andrew Cuomo warned on Friday, Feb. 8, about what he called "political pandering" to critics of Amazon's proposed secondary headquarters amid a report that the company is reconsidering its planned New York City headquarters.
The fact that there has been no procurement of office space and no approval of the promised incentives would make a withdrawal of the NY option relatively easy.
Amazon did not directly address the report but said it was focused on engaging with its future neighbors.
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Alphabet Inc's Google said in December it would invest more than $1 billion on a new campus in NY, becoming the second major technology company to pick America's financial capital to expand and create thousands of jobs.
"The problem is the state Senate has adopted that position and that is what could stop Amazon".
However, several NY politicians have been critical of the project and the roughly $3 billion in incentives NY agreed to provide.
The company is considering other options for the NY location, including relocating thousands of jobs to other areas and withdrawing altogether.
United Food and Commercial Workers International Union President Marc Perrone said, "it is outrageous that Amazon is now essentially threatening New York City taxpayers to pay for its new headquarters or else it will leave town".
Cuomo has promoted the 25,000 jobs Amazon is expected to bring to New York City. Now he has been recommended to serve on the Public Authorities Control Board, which has veto power over a $500 million construction grant that was part of the construction deal with Amazon.
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Gov. Andrew M. Cuomo (D) and Mayor Bill de Blasio (D) called Amazon's decision to open a second headquarters an economic triumph for the area when it was first announced.
At a contentious City Council meeting last week, Amazon's public policy director Brian Huseman touted the deal's benefits for the city, but also said that Amazon wants to invest in a "community that wants us". Effectively, Amazon would repopulate a neighborhood and would help Arlington County, Va. with a long-stated goal of revitalizing their community.
Cuomo complained that the new federal tax code that caps state and local tax deductions (SALT) on wealthy New Yorkers has triggered a drop in state tax revenues.
Amazon's attempt to establish a stronger foothold in NY comes as the e-commerce giant continues to ramp up its presence in the digital advertising space, which is now dominated by Facebook and Google.
In response to a request for comment, Amazon appeared to commit itself to the NY project, though didn't explicitly say so.
Malin doubts that Amazon would abruptly pull out of the deal, considering the scale of Amazon's plans and of the government incentives.
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