AAPL Apple Inc

By WSJ Staff 

Apple Inc. plans to invest $1 billion building a new corporate campus in Austin, Texas, that could eventually create 15,000 jobs, the company said Thursday, as the iPhone maker seeks to make good on its promises to strengthen its contributions to the American economy.

The Cupertino, Calif.-based technology giant said it would establish new offices in three cities--Seattle, San Diego and Culver City, Calif.--where it would add more than 1,000 employees in each place. Over the next three years, Apple said it would add hundreds of jobs in cities including New York, Boston and Portland, Ore.

Apple's new campus in Austin, where the company already has two large offices, will initially hire 5,000 workers. That total could triple in future years, Apple said.

"Talent, creativity and tomorrow's breakthrough ideas aren't limited by region or zip code, and, with this new expansion, we're redoubling our commitment to cultivating the high-tech sector and workforce nationwide, " Apple CEO Tim Cook said in a news release announcing the move.

Earlier this year, Apple said it would invest $30 billion in capital spending in the U.S. over five years, creating more than 20,000 jobs. That sum included a new campus, which initially will house technical support for customers, and $10 billion toward data centers across the country.

Mr. Cook has been under pressure by President Donald Trump over the company's outsourcing of the iPhone and other devices' production to factories in China. In an interview with The Wall Street Journal in 2017, Mr. Trump said Mr. Cook has committed to building three big manufacturing plants in the U.S.

Apple shares have sunk more than 25% since early October, shedding more than $300 billion in market value, driven in part by investors' concerns about the future of the iPhone. Consumers are holding on to their devices longer and resisting price tags soaring past $1,000, causing smartphone sales to slide this year.

Since Apple's January announcement about plans for a new campus to house technical support staff, it has said little about the search effort--in contrast with Amazon.com Inc.'s well-publicized effort to find a second headquarters city. The e-commerce giant last month picked New York City and northern Virginia, attracting billions of dollars in investments and the prospect of 50,000 jobs.

Yoko Kubota and Stu Woo contributed to this article.

(END) Dow Jones Newswires

December 13, 2018 06:12 ET (11:12 GMT)

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