Google CEO Sundar Pichai speaks on stage throughout the annual Google I/O builders convention in Mountain View, California, Could 8, 2018.
Stephen Lam | Reuters
Google says it plans to spend greater than $7 billion on actual property throughout the U.S. in 2021 because it resumes spending within the wake of the Covid-19 pandemic.
The corporate stated the cash will go towards increasing places of work and information facilities throughout 19 states, creating what it says will quantity to a minimum of 10,000 full-time jobs. $1 billion will go particularly towards California.
“Coming collectively in particular person to collaborate and construct neighborhood is core to Google’s tradition, and it’ll proceed to be an essential a part of our future,” CEO Sundar Pichai stated in an weblog submit Thursday. “So we proceed to make important investments in our places of work across the nation, in addition to our residence state of California, the place we can be investing over $1 billion this yr.”
Google father or mother firm Alphabet paused its actual property spending final yr within the wake of the pandemic and Google’s first-ever year-on-year income decline within the second quarter of final yr.
The information middle expansions come as the corporate aggressively grows its cloud enterprise. The corporate broke out working outcomes for that enterprise in its final earnings report, revealing that it misplaced $5.61 billion on $13.06 billion income final yr. Google Cloud CEO Thomas Kurian informed buyers final month that he is centered on rising the enterprise now, with a watch towards profitability down the highway.
The corporate plans to return staff to places of work starting this fall. Pichai beforehand stated Google would not undertake a everlasting distant work plan, anticipating most staff to point out as much as assigned places of work three days per week beginning in September.
As part of the expansions, Pichai stated the corporate will add hundreds of recent roles at its places of work in Atlanta, Washington, D.C., Chicago and New York.
“It will assist convey extra jobs and funding to various communities as a part of our beforehand introduced racial fairness commitments,” Pichai acknowledged, including that 2020 was its largest yr ever for hiring Black and Latinx Google staff within the U.S.
The corporate is planning on opening new places of work in Seattle, Houston and Mississippi. It is within the means of planning a number of, large ground-up developments in numerous cities, together with close to its headquarters in Mountain View, Calif., the place it’s incorporating housing.
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