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GE's Move To Boston Could Revive Local Tech Business Ambitions (networkworld.com) 86

An anonymous reader quotes a report from Networkworld: Two-hundred people will run General Electric from the company's new headquarters in the Fort Point part of the city and another 600 will work in its labs. According to Immelt's vision, the headquarters will be open for interacting with startups and academia in which GE is both convener and catalyst. In an interview with Boston's business and political elite yesterday, chairman of the board and chief executive officer of GE Jeff Immelt said GE moved to Boston for two reasons: to win the Internet of Things and rethink how companies work in this winner-take-all technology and innovation economy. If GE's top management can add the missing ingredient by transferring the know-how for growing businesses to billions of dollars in quarterly revenue, Boston could regain its preeminent position for technology business leadership equal to its reputation for leading-edge research and development.
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GE's Move To Boston Could Revive Local Tech Business Ambitions

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  • by Greyfox ( 87712 ) on Tuesday April 05, 2016 @06:03PM (#51849289) Homepage Journal
    I did some contracting work for them in the '90's but thought they'd all been devoured by rabid weasels after GE Finance went away. The fact that many of my old appliances has their logo on them is a complete coincidence. So, what's ol' Generous Electric been up to, lately?
    • I did some contracting work for them in the '90's

      Same here; GE and GE Capital... all I can remember is fridges full of free Snapples and all the bagels and cream cheese a glutton like me could handle...

      • by Greyfox ( 87712 )
        You could get a whole plate of deep-fried shrimp and some pretty good horseradish seafood sauce for cheap in their cafeteria in North Carolina. That was actually a pretty big incentive to show up for work.
    • by Anonymous Coward

      GE Capital's been mostly spun off into its own company (Synchrony Financial) after the financial mess of 2008, GE Appliances sold to the Chinese. "Unlimited" vacation time for all salaried employees. At the very least they're trying to be hip.

      http://www.bloomberg.com/news/articles/2016-03-17/how-ge-exorcised-the-ghost-of-jack-welch-to-become-a-124-year-old-startup

  • Comment removed (Score:4, Insightful)

    by account_deleted ( 4530225 ) on Tuesday April 05, 2016 @06:27PM (#51849363)
    Comment removed based on user account deletion
  • Not what I heard (Score:3, Informative)

    by Anonymous Coward on Tuesday April 05, 2016 @07:14PM (#51849553)

    As someone with relatives 2 streets away from their old headquarters in Fairfield, CT, the move to Boston is predicated on two things:
    1) the college labor pool in MA is more plentiful, the cost of living is lower, and thus it's a cheaper labor cost to GE for entry level college intern and recent grad talent
    2) CT state government significantly raised corporate taxes last year, and GE said they would move if they did. This is just following through on that promise.

    And surprisingly, Taxachusttes is actually 25/50 in income taxes, while CT is top 5/50 for income and top 2/50 for estate taxes.

    http://www.bloomberg.com/news/articles/2016-01-28/why-ge-spurned-connecticut-for-massachusetts

    • Massachusetts has had a bunch of RINO governors who really did want to lower taxes, though expand intrusion of the state into your life in every way just like the Democrats do. This has significantly lowered the cost of taxes there.
  • I work a few blocks from the proposed HQ site and there are construction cranes in all directions, & there is plenty of demand for office space in Fort Point and excellent freeway access due to Big Dig exit at convention center. We already have enough Internet of Things [meetup.com] meetups believe it or not.

    Muckrock and the Boston Institute of Nonprofit Journalism tried to raise $1700 demanded by the mayor's office [muckrock.com] for reproducing the GE emails. But who needs emails when the charm offensive has begun [streetwise.co]? BINJ did a five-part series on the scheme [medium.com].

    These crony style one-off deals are always terrible economics. The "free market" certainly will fill that space very soon. There is no lack of demand, instead tons of local money already develops this area. In Jan 2015 a parking ramp in Fort Point sold for $56 million or $106,500 per spot [bostonglobe.com]!

    As noted above many in the population are furious #MakeGEpay [twitter.com] protesting in the freeze of last weekend's clipper. (Mayor Walsh was elected with 52% on 38% turnout). The schools are facing a $50 million shortfall [bostonglobe.com], students walked out just a few days ago partially protesting this [uft.org].

    In this deal they don't have to pay regular taxes, instead they get to muck around in the local school system with all the purse strings attached as the press release makes clear. Instead of letting the city get normal tax revenue and the School Board allocate money for programs GE gets to basically do what it likes, as the press release clearly specifies [streetwise.co].

    Sen. Sanders said they are "destroying the moral fabric [bostonmagazine.com]" of the USA. Boston Magazine reported in January [bostonmagazine.com]:

    "GE isn't exactly a shining model of corporate conduct. The company is one of most notorious abusers of offshore tax havens, with $119 billion stashed away across 18 overseas locations as of 2015. Democratic presidential hopeful Sen. Bernie Sanders once named GE the nation's top corporate tax avoider. From 2002 to 2011, GE eliminated a fifth of its U.S. workforce while its offshore profits multiplied sixfold to $92 billion."

    Do you really think that some of these Beacon Hill luminaries haven't been looking forward to a taste of that offshore $119,000,000,000?? The centralization of decisionmaking in the schools, by withholding program revenue, is unfolding in parallel to this incredible offshore tax scam. Maybe they want Ft Point Channel access to float in barges of cash, why not? I am disappointed none of this important info is in the story summary.

  • I wonder what they're going to do with all the IoTs crap no one really wants...

    A whole economic sector based upon corporate spying, in your home, with government spying sneaking in on top....

    Every word you say.. every private moment recorded... well, just more of cell phones I guess.

  • Baawston. Baawston.

    I like saying "Baawston".

  • You keep using that word. I do not think it means what you think it means.
    IoT, is going to foster disruptive startups. GE hasn't got what it takes to play in that sandbox.

Keep up the good work! But please don't ask me to help.

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