Virginia-based DXC Technology Co will develop the center to create digital services for its global clients, which total almost 6,000 across 70 countries, the company said in a statement.
John Bell Edwards' office calls it one of the most significant economic development announcements in state history: A technology company bringing 2,000 jobs to New Orleans. The company says it serves almost 6,000 private and public sector clients in 70 countries and employs 155,000 people.
As part of the deal, the state of Louisiana will fund a $25 million higher education initiative to expand the number of degrees awarded annually in computer science, management, and science, technology, engineering and math, or STEM-related studies.
The digital transformation center will be the largest workplace for DXC. Its New Orleans "Digital Transformation Center" will serve as a "blueprint", according to executive vice president Stephen Hilton. The company also will work with the state-backed Louisiana Economic Development's FastStart workforce development program. "DXC's selection of New Orleans represents the rarest and most promising economic development win that Louisiana or any state could hope for".
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"These are permanent, direct jobs right here", Governor Edwards said during a news conference on Monday.
The project is estimated to generate $64.3 million in new state taxes from 2018 to 2025, the statement said. Mayor Mitch Landrieu called it a "game changer" in the city's drive to diversify its economy. Greater New Orleans Inc.'s Michael Hecht said the arrival of DXC "emphatically validates New Orleans as a place for business and tech". "As we approach our city's 300th anniversary, I have no doubt that our best days are ahead of us". For its New Orleans office, DXC will begin hiring 300 IT and other staffers, aiming for 2,000 over the next five years.
The state economic development agency said incentives to land the company included almost $19 million in grants payable over five years.