Amazon, bowing to local opposition, is backing out of a planned East coast headquarters in Long Island City, NY. Opponents of the $3 billion in tax breaks and incentives gained more fuel when it was learned Amazon will pay no federal income tax for the second year in a row. Plans are on track for facilities in Arlington, VA and Nashville, TN.
On a recent trip to New York, I took the lovely ten-minute stroll from my hotel to Amazon’s newly opened SoHo neighborhood retail store, Amazon 4-star. Let me take a moment to call out some of my own observations and what they could be signaling for the future for Amazon’s brick-and-mortar retail business.
As expected, Amazon announced two new headquarters on the East Coast, one in Long Island City, NY and one in Arlington, VA, with plans to invest $5 billion and create more than 50,000 jobs. This ended a 14-month process that had 240 U.S. cities selling themselves and offering huge incentives. See details of the two new locations as well as plans for a center of excellence in Nashville.
eBay has filed a lawsuit against Amazon claiming the ecommerce giant has been using illegal tactics to lure sellers away from the rival marketplace since at least 2015. The lawsuit alleges that Amazon knew it was breaking eBay’s rules and policies, and even communicated these infractions in discussions with eBay sellers.