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Alphabet to Invest $500M for New Data Center in Clarksville

According to The Tennessean, the former Hemlock Semiconductor site at Clarksville will shortly have a new occupant - Alphabet Inc. 's GOOGL Google.

Google plans to invest more than $500 million in a data center and create approximately 70 full-time jobs initially. Reportedly, the Internet search giant is in the final stages of negotiation.

Previously, Hemlock Semiconductor was supposed to use this site for a $1.2 billion plant. However, last year, due to global market conditions the plan fell through. Ever since, there have been rising speculations about the next tenant.

For weeks now, The Leaf Chronicle has been reporting that talks concerning a new facility at the site are underway. However, officials at the Montgomery County Courthouse as well as economic development circles in the Clarksville area did not disclose anything.

The only thing that Industrial Development Board Executive Director Mike Evans said was that they are operating under the "tightest non-disclosure agreement that I can remember in my 18 years in this position."

If the reports are to be believed, this would be Google's 15 th data center. As Internet users increase worldwide and more information is stored in the cloud, the company has to expand its capacity.

Ron Bailey, vice president of business development with The Greater Jackson County Chamber of Commerce in Scottsboro, AL said, "I would think their need for storage capacity for the cloud would be the driver for their need for more space. The more customers that they have that are using Google, the more it slows the system down."

The Zacks Rank #3 (Hold) company declined to comment on these reports.

Investors may consider stocks like Stamps.com Inc. STMP , Mercadolibre, Inc. MELI and Amazon.com AMZN . While Stamps.com and Mercadolibre sport a Zacks Rank #1 (Strong Buy), Amazon carries a Zacks Rank #2 (Buy).

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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