Last week, IBM announced that it is moving manufacturing jobs from its huge Rochester, Minnesota facility to Guadalajara, Mexico. Industry analysts think about 2,500-3,000 jobs will be lost. IBM didn’t say how much they will pay their new factory workers in Mexico, but if they pay anywhere near the prevailing rate, it will be far lower than what they have been paying in Minnesota.
Profits will surge, of course, and a nice chunk of those dividends will be paid out to America’s jolly old grandpa, Warren Buffett, who is a large shareholder. Buffett is famous for “not understanding technology” but he seems to understand carpetbagging technology just fine.
The facility which made servers, and hardware to run big-data and cloud systems, is one mile long, and about half the size of the Pentagon. How long before it is shuttered?
Read more in: Warren Buffett’s Plan to Destroy America.