General Electric announced on September 2 that it is opening a brand new technology and software centre about 25 miles from Detroit. Over the next few years the new facility is expected to bring 1,100 new jobs to the area. This is welcome news for Michigan which has been hit extremely hard during the economic downturn.
The Advanced Manufacturing and Software Technology Centre, complete with its own research and development facility, will become part of the conglomerate’s global research network. Insiders at GE say the centre will develop renewable energy technology as well as aircraft engines, gas turbines and other cutting-edge products. Scientists and engineers will work with composites, machinery, casting, coating, and inspection methodologies for GE’s energy and aviation businesses.
The Michigan researchers will join the 2,800 scientists and engineers that already work for the company at four other large research facilities. GE says it will partner with local universities to establish training programs for its employees at the Michigan facility.
GE has been a leading innovator in renewable energy development including smart meters and smart grids. The company is working with numerous start-ups to get the most beneficial technologies to the market.
The Michigan site will also include experts in networking, software development, program management, data architecture, and business intelligence. Software will be developed at the site that can support GE’s advanced smart grid operations, amongst other technologies. The site will also become a training hub for the company’s IT professionals.
The new research and development building will cover 100,000 square feet and will cost $100 million to build at the Visteon Village site in Van Buren Township, Michigan. Office space already in place will house the software and IT employees.
“To lead in manufacturing and create high-value jobs in the U.S., we must invest in technology and in people,” said GE Chairman and Chief Executive Officer Jeff Immelt. “The scientists, engineers and technologists that will work and learn at this centre will help GE develop innovative new software, processes and technologies to make our manufacturing businesses even more productive and competitive.”
“Michigan is a great location for a technology centre because of its world-class engineering, technical talent and public officials who understand that investing now will create tomorrow’s leading positions in information technology, clean energy and transportation.”
The state of Michigan enticed GE to locate its new facility in the state with incentives that will be worth more than $60 million over the next 12 years. The state expects the tax incentives to be well worth it however as it will receive over $170 million in increased revenues with the new GE operation.
Immelt spoke to the Detroit Economic Club in June about Michigan’s disappearing manufacturing jobs. “We should set a goal to have manufacturing jobs be no less than 0 percent of total employment, about twice what it is today,” he said. Immelt told the audience that “good jobs can return to manufacturing centres across America.”