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Google To Close Its American Moto X Factory

An anonymous reader writes "After only one year in operation, Google's Moto X factory in Fort Worth, TX, is scheduled to close at the end of 2014. The decision to close apparently has nothing to do with Google's decision to sell Motorola Mobility to Lenovo and everything to do with poor sales numbers and high labor and shipping costs in the U.S. The factory had, at one point, employed 3,800 people. Their ranks now number at about 700. Moto E and Moto G, newer and cheaper iterations of Moto X, have sold in more profitable numbers overseas, so Google's original rationale of building phones nearer to the largest customer base to decrease time between assembly and delivery to end user will unsurprisingly force the closure of the U.S.-based factory and transfer labor overseas as well."

4 of 154 comments (clear)

  1. Re:remove Health Care from jobs and then labor cos by drinkypoo · · Score: 5, Insightful

    remove Health Care from jobs and then labor costs will come down. Out side of the usa your job does not control your Health Care

    Someone has to pay for the health care. Remove insurance from health care and then health care costs will come down. Outside of the USA, an insurance company does not need to profit for you to get health care.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  2. Re:remove Health Care from jobs and then labor cos by fuzzyfuzzyfungus · · Score: 4, Insightful

    Silly socialist! The risk of agonizing death from some untreated illness just incentivizes lazy poor people to work harder.

    Not until the paramedics check your credit history before they check your vital signs will America be truly great again!

  3. Re:remove Health Care from jobs and then labor cos by ShaunC · · Score: 4, Insightful

    I agree, make health care a social right and decouple it from employment and income. It would be interesting to see what the CEOs come up with to blame for the next rounds of layoffs.

    --
    Thanks to the War on Drugs, it's easier to buy meth than it is to buy cold medicine!
  4. Re:They became tied to jobs in the US when by ebno-10db · · Score: 3, Insightful

    Democrat president Franklin Delano Roosevelt tried to control the economy; During WWII he froze wages.

    What's more important, defeating Nazi Germany and the Japanese Empire, or worshiping the Market God? I think we won that war, in large part because the Arsenal of Democracy produced war materiel at a rate made the few rational people amongst the enemy scared shitless. Wage and price controls, and rationing, meant that we didn't have the sort of inflation that trashed the American economy after other wars. The War Production Board (a/k/a the control in a controlled economy) was disbanded after the war.

    As for the short-sightedness of FDR (I wonder if anything other than market distortions was on his mind between say 1941 and 1945?), which helped lead to widespread employer paid health insurance, another liberal Democrat by the name of Truman tried to fix that after the war. He pushed for universal health care, but was defeated by the Republicans.