GOVERNOR PATERSON AND SENATOR SCHUMER ANNOUNCE YAHOO! TO BUILD DATA CENTER IN WESTERN NEW YORK Yahoo! To Invest Tens of Millions in Niagara County
Expected to Create 125 High-Tech Jobs Statewide
Governor David A. Paterson and U.S. Senator Charles E. Schumer announced that Yahoo! Inc., will build a new data center in Lockport, Niagara County. Through an agreement with the New York Power Authority (NYPA), Yahoo! plans to invest tens of millions dollars in the construction and computer equipment fit-out of its new East Coast Regional data center. The project is expected to create up to 125 full-time jobs across the State, with additional construction-specific jobs during the multi-year facility construction phase.
"Yahoo!'s decision to locate a data center in Niagara County solidifies New York's position as a leader in the New Economy," Governor Paterson said. "This investment will create new job opportunities, help to develop the local economy and also attract other tech industries to the area. We are pleased to welcome Yahoo! to New York."
Senator Schumer said: "Today we have scored a big win for Western New York. The 125 jobs are important, but if this works as planned, Yahoo! will be a lighthouse in Western New York, saying to high tech companies 'come, we have a lot to offer.' If Yahoo! locates here, high tech companies all over the world will realize what we have to offer - our well educated, talented and affordable workforce, our high quality of life - and want to locate here."
David Dibble, Executive Vice President, Service Engineering & Operations, Yahoo! said: "We are extremely pleased to be building our next U.S. data center in Lockport. New York State and the greater Buffalo area possess all of the resources required to run a world-class data center that uses leading edge technology to drive new milestones in energy efficiency. Everyone we have worked with - from Governor Paterson and Senator Schumer, to the New York Power Authority, Buffalo Niagara Enterprise, the Town of Lockport, and Empire State Development - has been supportive in understanding Yahoo!'s needs and in moving this project forward."
The Yahoo! data center will receive an allocation of 10 megawatts of low-cost hydropower from NYPA for the first phase of construction, which is expected to begin in the fall of 2009 and allow the facility to be operational in January 2011. A second phase of the project, expected to start in the spring of 2012, would potentially include tens of millions in additional investments from Yahoo! for Western New York. In return, Yahoo! would receive an additional five megawatts of NYPA hydropower.
At the urging of Governor Paterson, NYPA actively worked to secure an agreement with Yahoo!. The NYPA Board of Trustees voted unanimously in favor of the first phase of the proposal on May 19, 2009, and Yahoo!'s Board of Directors accepted the proposal from NYPA on June 25.
Under Governor Paterson's leadership, NYPA has been a driving force in helping Western New York's economy. In the last year alone, NYPA has secured agreements with 15 companies that will bring to the region over 1,000 jobs and spur investments of over $400 million. The new Yahoo! data center would host properties, advertisements and content found on Yahoo!'s web portal.
The following quotes were provided in support of the Yahoo! announcement:
Congressman Brian Higgins said: "Western New York's access to hydropower makes this announcement possible and this region's future hinges on our ability to see much greater benefits from this unique resource moving forward. Our lake, that feeds our river, that drives the Niagara power plant, holds great potential to replicate economic development and job success stories like this in Western New York again and again, but to do this we must be given the opportunity to reclaim what is naturally ours."
Congressman Chris Lee said: "In addition to bringing dozens of high-quality, good-paying jobs to our area, Yahoo! has sent a clear signal that Western New York offers a competitive workforce and supportive business climate. Helping foster growth and innovation in the private sector is critical to advancing our economic recovery. We welcome Yahoo! to our community and look forward to seeing the company prosper here in the years to come."
Assembly Speaker Sheldon Silver said: "Yahoo!'s decision to make Lockport the home of its new data center will certainly benefit both the company and the region. Western New York has excellent workforce, clean and abundant energy, affordable office space, a superior fiber optics network, excellent school districts and the prestigious University at Buffalo. The decision of this important company to locate here was in no small part due to the hard work of Governor Paterson, Senator Schumer, the bipartisan Congressional Delegation and Assemblywoman Francine DelMonte."
Senator William T. Stachowski said: "This announcement is great news for Western New York and its hard-working men and women. Job creation is key to the overall health of our State's economy and this venture will create many new high tech and high paying jobs for our residents and bring additional economic growth to our area. I commend the Board of Directors at Yahoo! for recognizing that Western New York is the perfect place for businesses looking to expand, and I am certain that the company will benefit from the excellent workforce in our region and the great quality of life which Western New York offers."
Assemblyman Robin Schimminger said: "As chairman of the Assembly Economic Development Committee and as someone who represents portions of both Niagara and Erie Counties, I am doubly pleased that Yahoo! has chosen to locate this data center not only in New York State, but here in Western New York. Winning this multi-state competition for good-paying, high-tech jobs will help draw national attention to our region and help attract other new-economy companies and jobs."
Richard M. Kessel, President and Chief Executive Officer of the New York Power Authority said: "We're pleased to provide the economic power Yahoo! needs to make it worthwhile to locate their new data center in Western New York. Yahoo! will provide a huge boost to the local economy now and in the future."
Dennis Mullen, Empire State Development, said: "As a globally renowned company, Yahoo!'s decision to invest in Western New York is an enormous coup for the region and for New York State. Bringing Yahoo! to Western New York will help position this area for attracting more technology investments, as other information technology and communications firms can take advantage of the available fiber optic network access. Further, this tremendous project echoes the priorities for the 'New Economy' that Governor Paterson outlined earlier this month, namely that a new economy is emerging: an economy based on knowledge, technology and innovation. New York is poised to lead this New Economy and Yahoo!'s new data center illustrates that."
Lockport Town Supervisor Marc Smith said: "Many will think that the announcement today of Yahoo! building a data center in Lockport NY is nothing short of a miracle. I totally disagree! Yahoo!, an internationally recognized leader in the internet industry, is moving into New York State because of great teamwork and our ability put together a world class business proposal. Many individuals played key roles in this project; however I would especially like to thank Senator Schumer, Governor Paterson, Richie Kessel, Buffalo Niagara Enterprise and Lockport IDA Director David Kinyon."