Apple's decision comes just weeks after Amazon chose to split a second headquarters between Arlington, Va., and the Queens borough of New York City. | Spencer Platt/Getty Images Technology Apple to pump $1B into new Austin campus

Apple announced Thursday it will invest $1 billion in a new campus in the Austin, Texas, metropolitan area as part of a pledge it made to expand operations in the U.S.

The iPhone giant said the 133-acre campus in Williamson County, just north of Austin, will employ 5,000 new workers, with the option to increase to 15,000. The company also plans to set up new sites in Seattle, San Diego and Culver City, Calif., bringing more than 1,000 employees to each location, and expand in cities like Pittsburgh, New York and Boulder, Colo.


“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," CEO Tim Cook said in a statement.

Apple has applied for financial incentives from Texas and Williamson County connected to the project, said a source familiar with the deal. If approved, the perks will include a $25 million grant from the Texas Enterprise Fund and county property tax rebates expected to total tens of millions of dollars over 15 years. Apple has to meet certain employment and investment thresholds to clinch all of the money, the source said.

Apple, based in Silicon Valley, said in January it planned to hire 20,000 people nationally over five years and put $30 billion into U.S. capital spending — an announcement that came shortly after President Donald Trump signed legislation that lowered the tax rate on corporate earnings and repatriated money. As part of that announcement, the company said it was looking for a location for technical support staff.

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Apple has faced criticism from Trump over its practice of manufacturing iPhones in China but has thus far managed to keep its products out of the U.S.-China trade war.

Trump has said that Apple will build "very, very big" plants in the U.S., remarks the company has declined to confirm or deny. The new Austin campus is not expected to include manufacturing. The company said workers there will be involved in "engineering, R&D, operations, finance, sales and customer support."

Apple's decision comes just weeks after Amazon chose to split a second headquarters between Arlington, Va., and the Queens borough of New York City, bringing a projected 25,000 jobs to each location.

Amazon's much-hyped selection process sparked political backlash for making cities scramble to offer tax and other incentives. By comparison, Apple's search process was far quieter.

