Texas Hill Country News

Merck Announces Major Technology Hub Establishment in Austin

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Announcing on Monday, July 17, that Merck Sharp & Dohme Corporation would be moving forward in the development of a technology innovation center in Austin, Governor Greg Abbott praised the move as one that recognizes Texas as the premier state for business development and expansion.

Merck Announces Major Technology Hub Establishment in Austin

Photo: Facebook/Merck

Becoming the integral anchor business for the innovation district that’s developing near the Dell Medical School, Merck is a pharmaceutical kingpin. They will be the recipients of a $6 million grant from the Texas Enterprise Fund, as well as a 10-year, $856,000 tax incentive package which was approved by the Austin City Council back in April. In exchange, they’ll be creating 600 new jobs with median salaries of just of $84,000, and invest close to $29 million in the construction and equipping of their new center. Kerry Hall, chair of Opportunity Austin, which has worked with regional, city, and state partners to recruit the company, said of the announcement, “The potential partnership between Merck and Dell Medical School is a testament to the qualities of Austin as a place for investment in medical technology and health care delivery as well as our city’s ability to work together to recruit great businesses and jobs.”

Merck Announces Major Technology Hub Establishment in Austin
Photo: Wikimedia

One hundred and nineteen full-time jobs through Merck will be established by the end of 2017, according to documents filed with Austin city officials in March. In addition, the company will spend close to $6.4 million to equip a temporary facility. Targets for additional employment and local expenditures are anticipated to be met by 2020, including the long-term office space. A final location has not yet been determined by Merck, but the company has previously stated it anticipates location at the medical school or within its adjoining innovation zone. In a press release, Merck global CIO Clark Golestani stated, “We look forward to working with the innovative and collaborative community (in Austin and Texas), including partners like the Dell Medical School at UT Austin and the Austin Healthcare Council.”

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