The Paterson Administration announced that Yahoo! Inc., the world's largest global online network of integrated internet services, has completed the first phase of a multi-phased investment project in Western New York. The company finished construction and opened a new $150 million data center facility, creating 125 new well-paying hightech jobs in New York. This new data center will host consumer services, advertisements and content found on Yahoo!

"As a world class online media company, I would like to welcome Yahoo! to New York State," Governor Paterson said. "Having an international company of Yahoo!'s caliber establish a presence in Lockport opens the door to enormous possibility in locating other high-tech companies to Western New York. I am excited to see that Yahoo! is well underway with their investment in New York State and look forward to seeing the many opportunities this will bring to Niagara County and the broader Western New York community."

David Dibble, Executive Vice President of Service Engineering and Operations, Yahoo! Inc., said: "New York State and the greater Buffalo area possess all the resources required to run a world-class data center, including a cool climate, clean energy and a qualified work force. We are grateful for the incredible level of support we have received from local and State government, the New York Power Authority, Lockport residents, and local businesses that all helped to make this project a success."

Phase I, which was just completed, focused on the construction of four buildings, including an administrative building and three data wings where the company's servers are stored. Construction for this phase began in May 2009 and was completed in September 2010.

In order to locate operations in Lockport, Yahoo! received various incentives including fifteen megawatts (MW) of low-cost hydropower from the New York Power Authority (NYPA) for Phase I. The company also secured a "Green IT" U.S. Department of Energy grant for leadership in energy efficient design. Finally, the Town of Lockport Industrial Development Agency put together a package of local incentives for the company, including a payment in lieu of taxes agreement (PILOT).

New York Power Authority President and CEO Richard M. Kessel said: "Yahoo!'s presence in Western New York underscores the region's ability to attract a world leader in high technology using its best resource - low-cost hydropower. Under Governor Paterson's leadership, we have aggressively pursued economic development opportunities that have resulted in multi-million dollar private investments and job creation and have spurred momentum to attract other new economy companies to the region and State."

Empire State Development (ESD) Chairman and CEO Dennis M. Mullen said: "Yahoo!'s investment is a significant opportunity for Western New York to grow beyond existing industries, such as back office services and manufacturing, opening the door for future high-tech investments. With Albany a leader in nanotechnology and with the Buffalo Niagara Medical Campus leading innovation in biotechnology, it is only appropriate that upstate continues to carve out its niche in the world of high technology innovation. ESD was pleased to have assisted the company in locating to Lockport and we look forward to continuing a strong partnership for many years to come."

Founded in 1994 by Stanford Ph.D. students David Filo and Jerry Yang, Yahoo! began as a hobby and has evolved into a leading global brand that changed the way people communicate with each other, conduct transactions and access, share and create information. Yahoo! Inc. attracts hundreds of millions of users every month through its technology and engaging content and services, making it one of the most trafficked Internet destinations and a world-class online media company. Headquartered in Sunnyvale, California, the company has a presence in more than 25 countries, provinces and territories and offers services available in more than 30 languages