Are You a High-End Power User? Nebraska Is for You
Yahoo has certainly made the news recently: sub-par growth, questions of whether or not Marissa Mayer will stay on as CEO, and investor anxiety about declining profits have all been top-of-mind for the tech company. However, in the face of a challenging economic climate, the company announced in November that it plans to expand its data center in La Vista, Nebraska, adding 20,000 square feet of data center space at the site. The expansion will cost $20 million dollars, and senior director of data center operations, Mike Coleman, explains that “the expansion will increase capacity to power Yahoo products and services for our users.”
The key word there is power. As it turns out, Nebraska is a hotspot for any tech companies looking to expand into a state with some of the country’s best power infrastructure. An article from the Nebraska Public Power District for Area Development explains that “expanding technology companies typically have intensive power needs. They look for low industrial rates and highly reliable electricity to meet their large-scale energy demands. And they’re setting their sights on Nebraska.”
Even if you’re not a large-scale tech company, the note about reliable electricity and above-standard power infrastructures is an important one. Take, for example, one of the largest textile mills in Tanzania, brought to their knees by erratic power this September. “We use a lot of machinery in the manufacturing of textiles. They need enough power. Because of lack of power, production has been heavily affected, thus making the family unable to afford paying salaries,” says Human Resources Manager Evius G. Kaijageto BusinessWeek. Thus, 200 workers have been sent on compulsory leave until mid-January, 2016, depending on the availability of power.
In Nebraska, on the other hand, financial assistance and extraordinary opportunities abound for both manufacturers and tech companies looking for reliable, consistent energy sources that won’t damage machinery or affect the bottom line from inconsistent currents. The Nebraska Public Power District explains, “While electrical rates have risen considerably nationwide, Nebraska’s industrial rates remain well below the national average. This is due, in part, to a diverse generation portfolio that includes low-cost coal, carbon-free hydro, nuclear, and wind power.”
Essentially, Nebraska’s power sources are cost-efficient thanks to both the location (being a Great Plains state works wonders for wind power) and the state’s dedication to creating a reliable business climate for tech companies.
As a small-to mid-size technology and manufacturing company, we may not have the power needs of, say Yahoo. However, reliable power is important for companies working in tech, manufacturing, big data, cold storage, distribution, and warehouses, which is why Wal-Mart has chosen to locate their distribution center in North Platte and NorAm has located their Cold Storage in Schuyler. Even though you may not see the warehouses when driving down the road, it’s worth taking note that some of the largest corporations in America consistently choose to invest in Nebraska, and that’s in no small part due to power and electricity.