Apple is decentralizing from its Apple Park headquarters in Silicon Valley and eyeing office expansion in other locations.
Job opportunities in Apple may be some of the most sought after in the market, but the tech giant’s hiring teams are facing struggles in hiring new talent and even to retain current talent.
These struggles are caused in part by where Apple Park is located.
Apple Decentralizes From Silicon Valley: Location Woes
(Photo : Sam Hall/Bloomberg via Getty Images)
The Apple Park campus stands in this aerial photograph taken above Cupertino, California, U.S., on Wednesday, Oct. 23, 2019.
Apple’s top executives did not consider decentralizing from Apple Park in Silicon Valley for years, according to Bloomberg’s “Power On” newsletter. That has since changed due to problems and issues brought about by the location of Apple Park. Specifically, the high cost of living in the San Francisco Bay area has brought about concerns among the employees working in the Silicon Valley headquarters.
According to Bloomberg, Apple has been losing talent who can no longer afford the high cost of living in the area despite their sizable salary. Cost of operations for Apple Park has also been high.
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The company’s hiring teams are also struggling to build a more diverse workforce and that geography is part of the reason for the difficulty.
Apple has realized that it “has to go to areas where its potential workforce actually lives, or to areas where it is cheaper to live,” according to a report by Apple Insider.
Apple Decentralizing Efforts
Some efforts have already been made by a number of Apple executives to decentralize their offices from Silicon Valley.
One of these executives is Johny Srouji, head of custom silicon. According to Bloomberg, Srouji’s group has opened offices in U.S. locations such as Florida, Texas, and Oregon. His group has likewise expanded to Germany, Israel, and some parts of Asia.
Online Services Chief Eddy Cue have also made efforts to decentralize from Silicon Valley by opening offices in Los Angeles and Nashville.
As far as future decentralization efforts are concerned, Apple already plans to invest $1 billion to build a new campus and engineering hub in North Carolina. According to an announcement posted on the official Apple website, the billion dollar investment will “create at least 3,000 new jobs in machine learning, artificial intelligence, software engineering, and other cutting-edge fields.”
Expansion is also planned in other states such as Colorado, where the tech giant is planning to grow its engineering team, and Washington.
According to the announcement, the construction for a campus in Austin, Texas is already underway, while a new data center in Iowa is being planned. Apple is likewise investing in community infrastructure programs in the state.
Apple Park
Apple’s Silicon Valley headquarters, Apple Park, was officially opened in April 2017 in Cupertino, California. Apple Park is often referred to as a “spaceship campus” due to its design. An auditorium in the campus has been named after the company’s late founder, Steve Jobs.
Apple Park is also designed to run entirely on renewable energy. The main building has a 17-megawatt rooftop solar power.
Apple Park also has its own Apple Store, a cafe that is open to the public, and research and development facilities.
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Written by Isabella James
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