Michigan-based web hosting and cloud services provider Liquid Web, which recently acquired Rackspace‘s Cloud Sites business unit, is committed to expanding its offices to San Antonio’s tech district, and the City as well as the County are on board to create monetary incentives for the company – if the company meets certain conditions.
In order to focus on Fanatical Support and serve more enterprise partners, Rackspace decided to sell its Cloud Sites branch to Liquid Web in August, but preserved the connection by welcoming its fellow cloud provider to the Rackspace Partner Network as an email reseller. This strategic move by the San Antonio-based company, which was recently acquired by Apollo, aimed at increasing its efficacy and focus on other business verticals.
“We are pleased that Liquid Web selected San Antonio as the best place to grow the business unit it recently acquired from homegrown company Rackspace,” stated Mayor Ivy Taylor in a news release. “The company’s decision is a testament to San Antonio’s strengthening downtown tech district and to our developing, robust tech ecosystem.”
San Antonio Economic Development Foundation President and CEO Jenna Saucedo-Herrera said the San Antonio community is committed to growing a robust and flourishing tech ecosystem and that the City-County collaboration sends a strong message that “San Antonio welcomes growth, innovation, and technology.”
Both the City and the County will consider financially supporting Liquid Web, contingent on the company remaining in San Antonio and fueling the city’s economy and job market. On Sept. 29, City Council will discuss granting Liquid Web up to $255,000 from an Economic Development Incentive Fund (EDIF) grant if the cloud company creates up to 100 jobs in the next four years. On Oct 4., the County Commissioners will consider granting Liquid Web $150,000 from the Bexar County Innovation Fund if it remains in Bexar County for at least three years, creates a minimum of 43 new jobs, and retains 55.
“We welcome and encourage Liquid Web to grow in San Antonio,” Bexar County Judge Nelson Wolff stated. “The average annual salary is estimated to be over $65,000 a year. This is a great addition to the high-wage job opportunities available in our community.”
According to Liquid Web CEO Jim Geiger, the company aims to become a preferred tech employer through its civic involvement, foster a strong customer-centric culture, and provide training and benefits to future employees.
“There is clearly something special happening in San Antonio, as it continues to evolve and grow its tech district,” Geiger stated. “We came to realize that San Antonio would provide our company with the most ideal environment to stimulate the continued growth of Cloud Sites.”
Geiger added that the company looks forward to growing its product development and sales efforts, and integrating the Cloud Sites technology. “Our business case does not assume any staff reductions and, in fact, we’ll be growing our presence in San Antonio,” Geiger stated back in August.
“Through our community’s economic development strategic plan, Forefront SA and our SA Tomorrow planning efforts, we work diligently to meet the long-term goals of talent attraction, entrepreneurial development, and high-wage and targeted industries growth,” City Manager Sheryl Sculley stated in a press release. “This project with the associated high-wage jobs coming to downtown is a great example of that commitment.”
Liquid Web is part of Chicago-based private equity investment firm Madison Dearborn Partners, LLC, currently generates $100 million in annual revenue, and serves more than 30,000 customers in 150 countries. Recognized by INC Magazine as one of the 5,000 fastest growing companies in the last 10 years, the company owns and manages its own data centers and continues to evolve its services.
To learn more about Liquid Web, click here.
Top image: Downtown San Antonio. Photo by Kathryn Boyd-Batstone.