Earlier this week, Amazon announced plans to build a new headquarters, HQ2, in a different location from its current home base in Seattle. The announcement has sent state and local community leaders into a frenzy and is sure to start a fierce bidding war to lure the tech giant. Birmingham Mayor William Bell weighed in on the announcement, telling Al.com, “We are very interested in Amazon, and we will be working with other organizations in making an effort to attract Amazon to this community.”
In addition to the announcement, Amazon laid out a detailed wish list for their ideal location. According to The New York Times, Amazon is looking for a metropolitan area with more than one million residents, on-site access to mass transit, a 45-minute or less commute to an international airport, and easy access to a major highway. The company has also requested that the new area have reasonable housing costs, a pool of talented tech labor, strong local universities, and a diverse population with many recreational opportunities.
So how does Birmingham stack up on this wish list? Fairly well actually. Birmingham has a population of well over a million people in the city and its surrounding suburbs. Any location in the downtown area would be a short drive to the Birmingham-Shuttlesworth International Airport, and four major interstates pass through the city. Moreover, housing costs across the state are much lower than any northern location Amazon may be considering, and the city boasts a thriving entertainment industry. From local sports teams such as the Birmingham Barons, numerous concert venues, and countless local restaurants and bars, the new Amazon employees would have endless opportunities for entertainment.
Perhaps the biggest draw to the city of Birmingham, however, is its thriving and exponentially growing tech industry. The city has become a haven for tech company start-ups, most notably the grocery delivery company Shipt. Shipt has become one of the fastest growing companies in the state and boasts a large downtown headquarters. In fact, it is a direct competitor to Amazon’s own grocery delivery service. The success of Shipt and other local tech companies highlights the strong pool of technologically skilled labor present in the Magic City.
It is estimated that Amazon’s current headquarters in Seattle has brought $38 billion in additional investments to the city. The new headquarters is expected to employ 50,000 full-time employees with an average salary of over $100,000. Amazon plans to spend $5 billion on HQ2.
The new headquarters would have an unprecedented economic impact on whatever city and state it is located in. Therefore, nearly every major city in the nation will be placing their bids. It will be interesting to see whether or not Birmingham can position itself as a major player in the battle for Amazon.
