Why is Apple building its new plant in Arizona?

According to Bloomberg, Apple is locating its new new sapphire manufacturing plant in Mesa, Arizona. The factory will produce sapphire for display covers of the next-generation iPhone. It will start operating next month.


After learning that Mesa, Arizona was less attractive for Cupertino company, the State government decided to take all measures to become the area of Apple expansion of operations facilities. To reach the objective, Mesa and Arizona officials did their best to offer most attractive perks and even agreed to build out power infrastructure to fulfill Apple's wishes.

Time was of the essence since Arizona had lost out on the previous Apple facility to Texas less than two years earlier and was nervous others might trump its bid. Officials typically had just a few days to respond to Apple’s questions, [Mesa mayor Scott] Smith said.

One sticking point: power. Apple wanted the facility to use 100 percent renewable energy and negotiated with the state and local power company, Salt River Project, about how to make that happen. New solar and geothermal projects are being built because of the project. Apple also got officials to agree to construct a new power substation for the plant.
Other benefits for Apple include a $10 million grant from the state to support building improvements and hiring efforts, as well as a special designation for the property that will cut Apple's property taxes by over 70 percent.

According to Mesa and Arizona, Apple' plant can give rise to a new technology corridor in this area, as some companies proved to be interested in locating their manufacturing facilities near Apple.

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Written by Lizzen

Tuesday, February 11, 2014. 1:54

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