CHICAGO | Economic & Business Development

[Randomguy34]

Even though CME has mentioned looking into moving their data centers to other states, their traders literally won't allow them to cause they still want the fractions of a second advantage by being located in Chicago. Location still matters even in the modern era

CME and Google to build new facility to move trading into the cloud

Alphabet Inc.’s Google will work with CME Group Inc. to build a new cloud-computing network that will enable the exchange operator to shift its futures and options trading into the cloud.
....
The decision to keep the data center in the Chicago area comes after market makers and high-speed trading firms opposed a move elsewhere, according to people familiar with the matter. It highlights how difficult it would be for the exchange to move away from the region, which has seen a number of high-profile corporate departures in recent years including Ken Griffin’s Citadel, Boeing Co., and Caterpillar Inc.

Traders like to have infrastructure near or in the data center to ensure information travels faster, giving them a slim advantage over others that aren’t nearby. Building out infrastructure elsewhere would take time and result in costs for firms, said the people, who asked not to be identified because the discussions are private. Talks between the exchange and traders included a potential move to Google data centers in Virginia and Ohio, the people said.

“We decided to build the new facility in Aurora to ensure minimal disruption for our clients,” CME’s Duffy said.

https://www.chicagobusiness.com/fina...-trading-cloud

[marothisu]

I didn't have that on my BINGO card but should have. It's comical but makes sense.

The thing is that if they moved data centers then all these companies would have to invest in data centers near there. Also not easy depending on requirements of those data centers (i.e. a firm may be required to modernize more to operate in some new DC costing them a lot of time and money). And today in Chicago area there companies already have their own advantage based on location. A company today that had an advantage could lose that advantage vs rivals if they were forced to go elsewhere.

[sentinel]

Let’s see:
- Boeing is a dumpster fire, and for the foreseeable future, no less
- Citadel is slowly being exposed for their fraudulent trading practices, and Kenny’s Florida mega mansion will be under water and uninsurable within the next decade or so
- Carepillar’s core intl business in the E and SE Asian markets is fairly stagnant

They probably would have been better off staying here (j/k)

[marothisu]

All 3 companies still have offices in Chicago/the area. The media has completely bungled what these companies actually did. None of them closed their offices here like they claim

[sentinel]

Originally Posted by marothisu

All 3 companies still have offices in Chicago/the area. The media has completely bungled what these companies actually did. None of them closed their offices here like they claim

I should have clarified I meant headquarters (Deere being in IL outside of Chicago).

[twister244]

Sad to see IL lost to CO on the quantum computing front, but it was only a $40.5 million dollar grant. This is less than 10% of what Pritzker put into his budget that was signed into law.

https://www.chicagobusiness.com/tech...icle1-headline

On the plus side, IL did receive $51 million in other grants.

[marothisu]

Originally Posted by twister244

Sad to see IL lost to CO on the quantum computing front, but it was only a $40.5 million dollar grant. This is less than 10% of what Pritzker put into his budget that was signed into law.

https://www.chicagobusiness.com/tech...icle1-headline

On the plus side, IL did receive $51 million in other grants.

Sucks, but not the end of the world. Do you know what the state may use that money for and what a state like CO might use theirs for? I imagine if it's infrastructure and the like then good thing IL earmarked some budget for it.

At the end of the day, if some major company like IBM comes in and builds a quantum facility in Illinois somewhere, I'll take that over the federal grant if there was a choice.

[Klippenstein]

It seems that, regardless of the federal grant, there is still a quantum campus in the works for either South Works or Lockport unless something has changed.

[twister244]

Originally Posted by Klippenstein

It seems that, regardless of the federal grant, there is still a quantum campus in the works for either South Works or Lockport unless something has changed.

Yep, and there's nothing in that article suggesting IBM/Psi have moved away from IL after this decision. At least not yet....

[Randomguy34]

Illinois lands federal partnership to further develop quantum projects

The Defense Advanced Research Projects Agency, or DARPA, will take residency on the state’s quantum campus to establish a program where quantum computing prototypes will be tested. The location of the campus is expected to be announced soon.

According to DARPA, the goal of the “Quantum Benchmarking Initaitive,” or QBI, will be to evaluate and test quantum computing claims and “separate hype from reality.”
....
Pritzker’s 2025 budget allocated $500 million in state investment to help fund quantum research and build a campus, with $300 million going toward the campus. DARPA plans to put out a request for proposals for quantum companies and said it will spend “up to $140 million.” The state plans to match that amount, with the pot of money coming from this year’s budget allocation.
....
Both the U.S. Steel South Works site in the South Chicago neighborhood and a former Texaco refinery in Lockport are being floated as potential sites for the campus. But the governor said no final decisions have been made. The location is being decided in partnership with quantum companies that plan to be part of the campus. Pritzker said he’s also seeking a “large enough space” that has access to quantum resources that already exist in northern Illinois.

https://chicago.suntimes.com/technol...pa-jb-pritzker

[sentinel]

Originally Posted by Randomguy34

Illinois lands federal partnership to further develop quantum projects

https://chicago.suntimes.com/technol...pa-jb-pritzker

HUGE news

[sentinel]

**MOD NOTE** No national politics, stay on topic please.

[marothisu]

This is a good win and IMO better than what Colorado won. Maybe because of the DARPA name attached to this.

[twister244]

The next big piece of news I am watching for is if/when PsiQuantum decides to build their computing infrastructure here, and where exactly. Even if their HQ isn't here, coupling this with the efforts Pritzker is doing can really help establish Chicago as some sort of a tech hub outside the bigger ones in the country. Or at least, one can hope......

[pullmanman]

Heard from a guy working at a land use law firm that a major obstacle to an unstated Quantum computing company (probably PsiQuantum) opening a Chicago campus is opposition from the local alderman because of gentrification concerns.

[Klippenstein]

Originally Posted by pullmanman

Heard from a guy working at a land use law firm that a major obstacle to an unstated Quantum computing company (probably PsiQuantum) opening a Chicago campus is opposition from the local alderman because of gentrification concerns.

That would be Mitchell (7th Ward) I'm guessing. So, he'd rather South Chicago just keep losing population? I don't understand this logic.

[twister244]

Originally Posted by pullmanman

Heard from a guy working at a land use law firm that a major obstacle to an unstated Quantum computing company (probably PsiQuantum) opening a Chicago campus is opposition from the local alderman because of gentrification concerns.

I have to imagine the powers that be won't let a single alderman get in the way of something like this........

It's worth remembering both Johnson and Pritzker are on board with all of this. I find it hard to believe an alderman will shut this down because of gentrification concerns. This isn't some random highrise proposal - It's a major investment into a hollowed out part of the city.

[sentinel]

Originally Posted by twister244

I have to imagine the powers that be won't let a single alderman get in the way of something like this........

It's worth remembering both Johnson and Pritzker are on board with all of this. I find it hard to believe an alderman will shut this down because of gentrification concerns. This isn't some random highrise proposal - It's a major investment into a hollowed out part of the city.

Fine, let it be built near Lockport. That’ll learn them. In all seriousness, in an area of the country that desperately needs some sort of stability, even if it means a modest amount of gentrification, the worst thing you can do is piss away a once-in-lifetime opportunity like this.

[twister244]

Originally Posted by sentinel

Fine, let it be built near Lockport. That’ll learn them. In all seriousness, in an area of the country that desperately needs some sort of stability, even if it means a modest amount of gentrification, the worst thing you can do is piss away a once-in-lifetime opportunity like this.

Agreed.... It's like - You want your jurisdiction to continue to be a rotting shell of a former self laden with crime and poverty?.........

[Steely Dan]

What do you want?

More investment and jobs and opportunity!!!

Okay, here you go.

NO! Not that kind of investment and jobs and opportunity.