Google is planning to scale back its commitments to data centers as part of a reevaluation of its investment plans for 2020.
In an email to employees, Google’s CEO Sundar Pichai said the company also will reduce spending on machines, and non-essential marketing and travel, as well as significantly slow the pace of its hiring in an effort to combat business challenges caused by the novel coronavirus disease COVID-19.
Pichai said the company will maintain momentum in a small number of strategic areas, and continue onboarding people who have been hired but have not yet started. He did not disclose hiring numbers nor any details about the new spending plan.
In February, the technology giant announced plans to spend $10 billion on offices and data centers in nearly a dozen U.S. states as part of its 2020 expansion plans. In 2019, Google said it was preparing to invest $