Microsoft, Google Backtrack On Vow To Develop U.S. Communities

When Microsoft President Brad Smith announced in February 2021 that the tech giant had purchased a 90-acre plot of land in Atlanta’s westside, he laid out a bold vision: The company, he said, would invest in the community and put it “on the path toward becoming one of Microsoft’s largest hubs” in the United States, Catherine Thorbecke reported for CNN Business.

Photo Insert: Microsoft's decision to pause plans feels like a “broken promise” that caught many residents of the predominately Black neighborhood where Microsoft planned to build the campus off-guard.

The announcement, which was met with enthusiastic coverage in local media, promised the construction of affordable housing, programs to help public school children develop digital skills, support for historically Black colleges and universities, new funding for local nonprofits, and affordable broadband for more people in Atlanta.

“Our biggest question today is not what Atlanta can do to support Microsoft,” Smith wrote. “It’s what Microsoft can do to support Atlanta.”

Two years later, Microsoft announced a series of cost-cutting efforts, including eliminating 10,000 jobs, making changes to its hardware portfolio, and consolidating leases.

As part of those moves, Microsoft put the development of its Atlanta campus on pause this month, a spokesperson confirmed to CNN.

The decision to pause plans feels like a “broken promise” that caught many residents of the predominately Black neighborhood where Microsoft planned to build the campus off-guard, according to Jasmine Hope, a local resident and chair of her neighborhood planning unit.

“All the promises of, ‘We’re going to put a grocery store here, we’re going to bring jobs to the area, we’re going to have a pipeline between the schools and Microsoft to create jobs,’ all that seems like it’s out the window,” she told CNN. “But the consequences are still being felt by the neighborhood.”

Late last month, the city of Kirkland, Washington, said in a press release that it had been notified by Google that the company will not be proceeding with its proposed redevelopment project that initially aimed to bring a massive new campus to the city.

In a Kirkland City Council meeting held just last summer, representatives from Google teased a slew of community benefits from the build — including infrastructure improvements, such as the creation of bike lanes and pedestrian trails, as well as a more than $12 million investment in affordable housing.

The planning process between Google and the city had been taking place since the fall of 2020, Clare Duffy also reported for CNN Business.

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