After unveiling the locations of its new headquarters with much fanfare, Amazon is now reconsidering whether to put a new campus in New York because of local opposition. That's according to the Washington Post on Friday citing two people familiar with the retailer's thinking.
The Post, owned by Amazon CEO Jeff Bezos, reported the company had not yet purchased or leased any land for the project in New York.
New York Governor Andrew Cuomo hit back at the opposition.
SOUNDBITE: NEW YORK GOVERNOR, ANDREW CUOMO, (ENGLISH) Saying:
"For the state senate to oppose Amazon was governmental malpractice. And if they stop Amazon from coming to New York they're going to have the people of New York state to explain it to."
In November, Amazon said it would branch out from its home base in Seattle with plans to create more than 25,000 jobs in both the Queens, New York neighborhood of Long Island City and in Arlington, Virginia.
The world's largest online retailer plans to spend $5 billion on the two new developments and expects to get more than $2 billion in tax credits and incentives.
But the backlash in New York has been fierce, forcing Amazon to go on defense.
The e-commerce giant has mailed flyers to Queens residents touting the economic benefits of its New York expansion, trying to blunt opposition from some local lawmakers who said Amazon received too many benefits at the taxpayer's expense. Another point of contention could be Amazon's opposition to labor unions.
Amazon declined a Reuters request for comment. Shares fell about two percent Friday.