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Here’s a short timeline of Foxconn’s plans and development in Wisconsin

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Here’s a short timeline of Foxconn’s plans and development in Wisconsin


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Microsoft announced Friday it was buying some Foxconn Technology Group properties in Wisconsin, which marks a new chapter in the tumultuous years-long relationship between Wisconsin and the Taiwan-based electronics manufacturer.

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State officials hailed Foxconn’s arrival, but despite a massive investment of public money and the construction of several buildings, including an eye-catching dome, Foxconn largely failed to deliver on its original promises.

Here’s a brief timeline of the company’s association with the Badger State.

Foxconn announced it was considering coming to Wisconsin in 2017

Foxconn stirred a major buzz — especially from Republicans led by then-Gov. Scott Walker and former President Donald Trump — when it announced Wisconsin was among the places the technology giant was considering expanding to in 2017.

The news prompted lawmakers to draft a multi-billion dollar subsidy package in an effort to lure Foxconn to Wisconsin, which the company ultimately accepted.

Foxconn promised a $10 billion investment in Wisconsin and the creation of 13,000 jobs

Foxconn originally promised to build a Generation 10.5 facility that would manufacture large LCD screens. The project was to be an investment of up to $10 billion that would deliver up to 13,000 jobs.   

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The state legislature passed a $2.85 billion tax incentive package that required Foxconn to meet certain hiring and capital investment benchmarks during the next 10 years in order to receive the tax credits.  

The company also received a $150 million break in sales taxes, bringing the total state package to $3 billion.  

But the company pivoted away from the large screens and the 13,000 jobs never materialized. Instead, about 1,000 workers are now at the site assembling servers and other electronic products.

Under Democrat Gov. Tony Evers, the incentive package was changed to reflect the reduced size of the company’s plans. It’s been estimated that more than a billion dollars of taxpayer money has gone toward supporting the deal but in 2021, the Wisconsin Economic Development Corp. approved a much smaller package, which included:

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  • The tax credits went down from $2.85 billion to $80 million.  
  • The job goal number came down from 13,000 statewide to 1,454.  
  • The capital investment has also gone down from $10 billion to $672.8 million. 

The tax credits are still performance based. In order for Foxconn to receive tax credits, it must meet certain hiring and capital investment measures.

President Donald Trump, Gov. Scott Walker and House Speaker Paul Ryan attend ceremonial groundbreaking in 2018

Foxconn agreed to the deal in 2018 and then-President Trump came to Wisconsin for the groundbreaking.

In a memorable turn of phrase, Trump at the time dubbed the plan to build the sprawling high-tech campus “the eighth wonder of the world.”

What has Foxconn built since expanding to Wisconsin?

Not what it originally promised. The facility has changed from a Generation 10.5 to a Generation 6, which normally makes screens for phones, tablets and TVs. But so far, no screens have been made.

About 100,000 masks were manufactured at the companies facility in Mount Pleasant in 2020 during the coronavirus pandemic.  

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There have been rumors that the company is developing servers for Google but that has not been confirmed by either company.  

On a call with analysts in March, Foxconn chairman Young Liu said the company is planning on making electric vehicle batteries and energy storage components to support its EV facilities in Ohio.  

The company has said it employs more than 1,000 people.

How much money has Foxconn paid to Wisconsin?

Aside from it’s own investments in the property, Foxconn has paid millions of dollars in property taxes and has become the largest tax payer in Mount Pleasant, according to village officials.



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Wisconsin

Biden visits Wisconsin to laud a new Microsoft facility — and troll Trump

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Biden visits Wisconsin to laud a new Microsoft facility — and troll Trump


STURTEVANT, Wisc. — President Joe Biden on Wednesday laced into Donald Trump over a failed project in the previous administration that was supposed to bring thousands of new jobs into southeastern Wisconsin and trumpeted new economic investments under his watch that are coming to the same spot.

That location in the battleground state will now be the site of a new data center from Microsoft, whose president credited the Biden administration’s economic policies for paving the way for the new investments. For Biden, it offered another point of contrast between him and Trump, who had promised a $10 billion investment by the Taiwan-based electronics giant Foxconn that never came.

“In fact, he came here with your senator, Ron Johnson, literally holding a golden shovel, promising to build the eighth wonder of the world. You kidding me?” Biden told the crowd of about 300 people, who clapped and cheered loudly as he spoke. “They dug a hole with those golden shovels, and then they fell into it.”

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Noting that 100 homes were destroyed to make way for the project, which wasted hundreds of millions of dollars, Biden added a jab: “Foxconn turned out to be just that — a con. Go figure.”

Biden was in Sturtevant, in Racine County, to promote the $3.3 billion Microsoft data center, which the Democratic president said will employ about 2,300 union construction workers to build it and then 2,000 permanent employees to staff it.

Microsoft’s president Brad Smith said in an interview with The Associated Press that Microsoft had a “steadfast commitment to under-promising and over-delivering” and praised the Biden administration and the state’s Democratic governor, Tony Evers, for economic policies that set the stage for the developments announced Wednesday.

But Biden was eager to take the credit and use the opportunity to repeatedly take swings at Trump, arguing that his presumptive Republican challenger embraced the same type of “trickle-down economics” that Biden abhors and failed to revive domestic manufacturing during his four years in the White House.

“Folks, during the previous administration, my predecessor made promises, which he broke more than kept, left a lot of people behind in communities like Racine,” Biden said. “On my watch, we make promises, and we keep promises.”

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Trump’s campaign didn’t address Foxconn, but the Republican former president often says the economy was in a much better position when he was in office and will be again should he win in 2024. Republican National Committee chairman Michael Whatley said Biden’s trip was an attempt to “save face in Racine County as Wisconsinites feel the pain of Bidenomics.”

“Manufacturing has stalled, family farms are shuttering, and costs are up for everything from electricity and gas to food and housing,” Whatley said. “It’s no wonder why Biden is losing in Wisconsin and battleground states across the country: his policies have failed and people want President Trump back in office.”

Foxconn, meanwhile, said its current Wisconsin operation “greatly contributes” to the company, which has invested roughly $1 billion in the state and now employs more than 1,000 people at Foxconn Wisconsin.

Wisconsin Republican U.S. Rep. Bryan Steil, who represents the district where Biden was visiting Wednesday, said the Microsoft announcement was good for workers. But Steil said Biden is using it to hide his record on failing to control rising inflation and said Biden was taking credit for private-sector work in the region that began a decade ago, much of it for the Foxconn project.

As for Trump, he was back in Florida on his day off from his New York hush money trial on Wednesday, meeting at his Mar-a-Lago club with people who, as part of a promotion, bought digital trading card NFTs, or non-fungible tokens, according to a person familiar with the matter who was not authorized to publicly discuss it. The “MugShot Edition” NFTs featured images of Trump as a cowboy, with lightning coming out of his hands, walking by the U.S. Capitol and taking the place of Lincoln at the Lincoln Memorial.

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Biden after his speech in Sturtevant, was making a campaign stop to speak with Black voters about the stakes of the November election.

Racine County is a critical location. All but five of the past 33 winning presidential candidates carried it. Trump is one of the five. He won Racine County but lost the election. Biden was the first Democrat since 1976 to win Wisconsin without carrying Racine County.

The race is expected to be close in Wisconsin, where four of the past six presidential elections have been decided by less than a percentage point. Biden won by just under 21,000 votes in 2020. A recent Marquette University poll showed that Republican voters in Wisconsin are somewhat more enthusiastic about the election than Democrats.

Biden’s trip to Wisconsin, his fourth of the year and 11th as president, came as his reelection also sharpened its outreach to minority voters on the airwaves. It announced the launch of a new, $14 million digital and television blitz that follows the $30 million effort that began after his State of the Union address in early March.

One of the new ads in the latest ad campaign focuses on Trump’s failed yet determined push to repeal the Affordable Care Act. A significant portion of the $14 million campaign starting Wednesday will go into Black and Hispanic media, as well as Asian American print and radio, according to the campaign.

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By the end of May, Biden’s reelection effort will have more than 200 offices and roughly 500 staff members in place, according to Dan Kanninen, the campaign’s battleground director. Those figures include offices in areas that traditionally haven’t seen investments by Democrats in pockets of Michigan, Arizona and North Carolina.

While Microsoft has been ramping up artificial intelligence-driven data center construction around the world, “this one is more important than many because there is more land and ultimately access to power available,” said Smith, who as a child lived in the area where the center is being built.

Once in operation, however, even the most powerful data centers typically employ a relatively small group of full-time employees to oversee them. Microsoft will have about 500, pulling from highly skilled workers in the corridor between Milwaukee and Chicago, Smith said.

However, he argued that the bigger impact for the region would be in the technology itself and broader investments in preparing the Upper Midwest for its impacts.

“This is about the competitiveness of manufacturing in places like Wisconsin and Michigan and Pennsylvania, and Ohio,” Smith said.

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Kim reported from Washington. Associated Press writers Michelle L. Price in New York, Scott Bauer in Wisconsin and Matt O’Brien in Providence, Rhode Island, contributed to this report.





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Biden Will Announce Microsoft’s $3.3 Billion AI Datacenter In Wisconsin Today—On Same Site As Trump’s Failed Foxconn Factory

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Biden Will Announce Microsoft’s $3.3 Billion AI Datacenter In Wisconsin Today—On Same Site As Trump’s Failed Foxconn Factory


Topline

President Joe Biden will unveil a new $3.3 billion investment by Microsoft to build a new artificial intelligence datacenter in Racine, Wisconsin, on Wednesday, in a bid to highlight his jobs push and economic accomplishments in the key battleground state.

Key Facts

According to the White House, the datacenter will create 2,300 union construction jobs and 2,000 permanent jobs.

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Microsoft has also committed to working with the state-run Gateway Technical College to train 1,000 workers for datacenter and STEM roles and train 1,000 business leaders to adopt AI in their operations.

The White House statement highlights the datacenter project as a part of Biden’s “Investing in America” push to mobilize private sector investments to create manufacturing jobs in the semiconductors, clean energy and AI industries.

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Key Background

The AI datacenter is being built “on the same land” where former President Donald Trump unveiled a $10 billion Foxconn factory that never came to be, the White House’s fact sheet about the project mentions several times. Trump had referred to the factory as “the eighth wonder of the world” when he announced it in 2017 and promised it would create 13,000 jobs. The Taiwanese electronics manufacturer eventually scaled back its investment to $672 million, promising to create only 1,454 new jobs. Foxconn has no involvement in the Microsoft campus.

Crucial Quote

“Six years ago, the prior administration touted a $10 billion investment by Foxconn that would purportedly create 13,000 manufacturing jobs in Racine. But after 100 homes and farms were bulldozed to make way for the manufacturing plant and over $500 million in taxpayer dollars were invested to prepare the site, no such investment materialized,” the White House said.

What To Watch For

Biden is also scheduled to attend a campaign event later on Wednesday in Racine where he will address Black voters and “discuss the stakes of this election and the important progress made under his leadership for the Black community,” according to his campaign.

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Further Reading

Trump promised this Wisconsin town a manufacturing boom. It never arrived. (Washington Post)

Biden to meet with Black voters during Wednesday trip to Wisconsin (Milwaukee Journal Sentinel)



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Thousands without power in Southern Wisconsin

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Thousands without power in Southern Wisconsin


MADISON, Wis. (WMTV) – Thousands of Alliant Energy customers and We Energies customers are without power according to the electric companies’ websites.

As of 11 p.m. Tuesday, Alliant Energy reported approximately 1,810 customers affected by power outages. The following counties made up part of that total:

  • Columbia – 1 customer
  • Dane – 155 customers
  • Dodge – 1 customer
  • Grant – 1 customer
  • Iowa – 16 customers
  • Rock – 6 customers
  • Walworth – 1,143 customers

As of 11 p.m. Tuesday, We Energies reported 4,427 customers affected by power affected by power outages. The following counties made up part of that total:

  • Dodge – 373 customers
  • Jefferson – 1,407 customers
  • Walworth – 102 customers

We Energies’ website acknowledged that many their customers in Southeast Wisconsin were experiencing power outages and that they were working to restore power.

Click here to download the WMTV15 News app or our WMTV15 First Alert weather app.

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