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Despite layoffs, Microsoft's development plans in Catawba County continue

Plans to develop four Microsoft data centers should not be affected by layoff announcement, Catawba County Officials say.

CATAWBA COUNTY, N.C. — In a letter sent on Jan. 18 to Microsoft employees, the CEO says its workforce will be reduced by 10,000 in 2023, which accounts for almost 5% of its workforce.

WCNC Charlotte spoke with Scott Millar, President of Catawba County's Economic Development Corporation, about whether these layoffs will affect Microsoft's plans to develop four data centers in Catawba County.

Scott Millar told WCNC Charlotte that the Microsoft layoff announcement doesn't seem to affect the tech company's plans to invest.

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"I certainly feel for what's going on with them and their issues, but I think that we're looking several years down the road on the investments that they're making, their impacts. This wouldn't impact anything with us at this point," Millar said.

Millar added that they are only in the beginning stages of development.

"For example, Catawba County Property Development Corporation owned one of the pieces in Conover, and I'm the signing officer for that organization, and we closed on some property yesterday."

Millar said there was competition bidding for Microsoft's investment. 

"Everywhere in the world is scoping for Microsoft and their attention and opportunities, just like these data centers," he said.

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Since 2006, Catawba County had been looking at the development of data centers as the next area of opportunity, according to Millar.

He said, "This whole Catawba Valley area was primarily manufacturing for textiles and furniture for many, many years. The backbone of infrastructure that was developed for those traditional industries is here and can be used for other opportunities as well."

Since closing on some of the properties, Millar said grading is the next step, which means time-consuming permits. 

"Those permits have to go through the Corps of Engineers and all the other appropriate agencies that will take some time. So even grading will take time and then building these massive facilities, and then filling them up with computer equipment will all take time. It will be several years before the opportunities start piling up," said Millar.

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