Expansion Will Bring More Than 100 New Jobs to the Area
Governor Andrew M. Cuomo today announced that Yahoo has opened its new customer care center, which was part of the second phase of its East Coast data center expansion in the Town of Lockport. The project will result in 115 new, well-paying jobs and a capital investment of $170 million by Yahoo, which is the world’s largest network of integrated internet services with more than half a billion users worldwide.
“The expansion of Yahoo's operations here in Lockport is even more proof that Western New York is on the move," Governor Cuomo said. "Bringing 115 new jobs and more than $150 million in capital investment complements the region's dedicated workforce, world-class universities, and low-cost hydropower. I welcome Yahoo to their newer, bigger home."
Lieutenant Governor Kathy Hochul said, “As Yahoo’s own CEO, Marissa Mayer, once said, ‘Companies with the best talent win.' The decision by Yahoo to make such a significant investment right here in Lockport will help create over 100 new jobs that will directly benefit our hardworking and well-educated residents. Western New York is rapidly becoming an economic magnet known for attracting some of the most innovative and cutting-edge companies throughout the world. Through Governor Cuomo’s commitment, we continue to make New York State a place ‘Open for Business’ so that the high-tech industries of the future have a place to call home.”
The state incentive package for the 150,000-square-foot expansion of Yahoo’s existing data center and the construction of the customer call center includes 7.2 megawatts of low-cost hydropower from the New York Power Authority and $2 million in Excelsior tax credits from Empire State Development. Yahoo received the incentive package in 2013 and began ramping up its customer call center workforce in the region at a temporary location in Amherst. Those jobs will now migrate to the new facility in Lockport.
The expansion project's sustainable design uses moderate-to-cold outside air for cooling the data center’s servers, consistent with the current facility’s features. The Yahoo campus uses 40 percent less electricity and 95 percent less water compared to conventional data centers. Yahoo’s East Coast data center is the company’s second largest and most efficient worldwide.
New York Power Authority Chairman John R. Koelmel said, “The completion of these new Yahoo facilities advances the development of the high-tech economy in the region and underscores the economic development value of the Niagara Power Project.”
Howard Zemsky, Empire State Development President and CEO said: "Yahoo is an international leader of the new digital economy and they found just what they were looking for in Lockport: low cost power and educated employees in a beautiful setting. Their Western New York success story continues to grow."
In addition to the incentives that Yahoo received in 2013, the firm also utilizes 15 megawatts of hydropower from the New York Power Authority in support of 125 jobs at its original Lockport data center, which completed construction in 2011. (One megawatt is enough power to meet the needs of 800 to 1,000 typical homes.)
Niagara hydropower is currently priced more than 40 percent less than wholesale market electricity in the Buffalo-Niagara region and is linked to tens of thousands of existing jobs.
Yahoo will also contribute $500,000 annually to the Community Foundation for Greater Buffalo, a not-for-profit organization that administers charitable funds in Western New York. The funding is used to advance economic development strategies identified by the Western New York Regional Economic Development Council.
Dr. Satish K. Tripathi, Co-Chair of the Western New York Economic Development Council and president of the University at Buffalo, said, “Graduates in the fields of engineering, finance and systems analysis are building successful long term careers at Yahoo. These interesting, exciting, and well-paying jobs are retaining and attracting young people to our region. Yahoo’s commitment to Lockport is yet another example of how Governor Cuomo’s vision for a robust high-tech economy is being realized across Western New York.”
Jeff Belt, Co-Chair of the Western New York Economic Development Council said, “Yahoos expansion of its data center in Lockport is proof that when it comes to hiring a workforce that is ready to face the challenges of tomorrow they need look no further than Western New York. Our pool of well-educated, technically savvy innovators is proving to be an important resource for Yahoo.”
State Senator Robert Ortt said, “In this digital age, it’s important to keep up with the high demand of technology from all over the world. This new customer care center at Yahoo! does exactly that - helping our region grow alongside Internet giants. The center’s bringing new jobs to Lockport and using low-cost hydropower to reduce our carbon footprint and save money - further reinvesting in our community.”
Assemblywoman Jane Corwin said, “Creating jobs in Western New York is vital to our economic recovery. Yahoo!’s investment and commitment to our region is a positive step forward and builds on the success that the Buffalo/Niagara region has seen in recent years. I look forward to working with Yahoo! as a partner in continuing to grow business and economic development across Western New York.”
Lockport Town Supervisor Marc Smith said, “We love to see the enthusiasm and creativity Yahoo brings to our community. While offering wonderful job opportunities to our residents they are enriching our community with hands on support or our community project. Thank you to New York State, Empire State Development, New York Power Authority and Buffalo Niagara Enterprise. Without your help we could not have created such a wonderful project as Yahoo in our community.”
William L. Ross, Chairman of the Niagara County Legislature, said, “Yahoo is another example of how Western New York is becoming a national leader in advanced technology. It is encouraging to see top notch companies utilizing our low cost power and highly motivated workforce. The completion of this project is another important indicator that Governor Cuomo’s formula for economic development is working to provide the region with a brighter future.”
David Kinyon, Town of Lockport IDA said, “The Town of Lockport Industrial Development Agency is proud to be a partner along with the State of New York in providing assistance to Yahoo. The continued growth of Yahoo’s financial investment and resulting job creation in Western New York is critical to the development of the technology sector of our region. Along with the location of Trek locally, Edwards Vacuum in Wheatfield, BlackRock in Amherst and Solar City in Buffalo, Yahoo’s Northeast Data Center and Customer Experience Center in Lockport represent significant growth in a key economic cluster. “
Yahoo is a technology company that provides search, content and communications tools on the web and across mobile devices worldwide. In addition to a free search capability, Yahoo also gives users access to news, sports, finance and entertainment, Flickr and 20 additional applications. The company also has marketing services that drive advertisers directly to their customer base.
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