SALT LAKE CITY — A Utah computer manufacturer vows to add 500 new jobs over the next five years.
The Governor’s Office of Economic Development Thursday approved a five-year, post-performance $2,045,825 refundable tax credit for Salt Lake City-based Xi3 Corp.
The company plans to devote $32,244,000 in capital investment toward future expansion along the Wasatch Front during that period, with projections to bring 500 new employees to its Utah workforce during that timeframe. The new positions will pay wages at a minimum of 25 percent above Salt Lake County or Utah County average wages including benefits.
Xi3 expects to generate nearly $170 million in new state wages and more than $98 million in new state revenue during the life of the incentive.
In November 2010, the company introduced its patented Xi3 Computer Architecture with its Xi3 Modular Computer — the smallest, most powerful and most energy-efficient 64-bit computer currently in production. Presently, the company has numerous additional computers, servers and other products various stages of development, with several slated for introduction this fall.
“We have a very smart, hard-working and dedicated workforce,” said Jason Sullivan, founder and CEO of Xi3 Corporation. “Utah is one of one of the most beautiful parts of the country and we now have the support of the state to help us aggressively grow Xi3 here in Utah."
E-mail: jlee@desnews.com
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Jasen Lee is a journalist for Deseret News/KSL reporting primarily on business, technology and utilities. Having started in radio, he has reported at KCPW and Metro Networks in Utah as well as WTMJ in Milwaukee and WMAY in more ..
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My2Cents:
I don't think you know how the incentives work.
1. Company asks the state to assist it with potential growth.
2. States says sure, only once you meet the agreed level which is publicly known and at that More..
I had incorrect numbers for county average wages. The Salt Lake County Average wage was $43,468 for the last year. So that means any new wages within the company would need to be at least 25% higher than $43,468. Utah County average wage is More..
Paying $2 million in the form of tax credits to get $170 million in wages for state residents and $98 million in new state revenue seems like a win-win to me and the right thing to do.
Since they are credits, no actual money would come out More..