The Governor’s Office of Economic Development (GOED) today announced that Snap Inc. will expand operations to Utah, adding up to 50 new jobs.
“Snap Inc’s innovative approach and high paying jobs are a natural fit for our thriving tech community,” said Val Hale, executive director of GOED. “Snap acquired a Utah County-based company a few years ago and we are pleased that they have maintained strong ties to the state since then. Their presence in the state will be a nice addition to the state’s growing tech industry.”
Snap Inc. is the creator of Snapchat, an innovative camera application that helps people communicate through short videos and images. The Venice, California-based company went public in March 2017 and has more than 3,000 global employees. The company’s expansion in Utah will focus on expanding its engineering teams, specifically focusing on camera technology and augmented reality.
“We always learn a lot from the incredibly diverse local communities where we operate, and we are very excited to build a new team in Utah,” said Jerry Hunter, vice president of engineering at Snap Inc.
Snap Inc. will create up to 50 jobs over the next 15 years. The total wages in aggregate are required to exceed 110 percent of the county average wage. Projected new state wages over the life of the agreement may be up to $334 million, which includes wages, salaries, bonuses, and other taxable compensation. Projected new state tax revenues, as a result of corporate, payroll and sales taxes, are estimated to be $12,685,151 over 15 years.
“We are excited to see Utah’s talented workforce being utilized by Snap Inc. to continue their innovative approach to technology,” said Theresa Foxley, president and CEO of the Economic Development Corporation of Utah. “Their presence in Utah will be a positive addition to our already thriving ‘Silicon Slopes.”
Snap Inc. may earn up to 20 percent of the new state taxes they will pay over the 15-year life of the agreement in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) tax credit rebate. As part of the contract with Snap Inc., the GOED Board of Directors has approved a post-performance tax credit rebate not to exceed $2,537,030. Each year as Snap Inc. meets the criteria in its contract with the state, it will earn a portion of the total tax credit rebate.
The company is working closely with the local community to determine the best location for its expansion. Exact location will be announced at a future date.