Microsoft signs on as tenant at Ion innovation hub – HoustonChronicle.com
In another win for Houston’s technology sector, Microsoft has leased space in the Ion, the former Sears building in Midtown that Rice University is redeveloping into a collaborative hub for innovation.
“Having Microsoft as a major tenant is a huge step forward in realizing the vision for the Ion as a dynamic hub bringing together key elements of innovation in Houston,” Rice President David Leebron said in a press release.
The amount of space Microsoft will on the building’s fifth floor was not disclosed. In addition to becoming a tenant, it will play a role in professional and workforce development through community and start-up initiatives to be housed at the Ion. The Redmond, Wash.-based company will host executive forums and virtual symposiums, according to Rice Management, which manages Rice University’s $6.5 billion endowment fund and is overseeing the development.
Rice Management would not disclose how much space is being leased, but said that more than 50 percent of The Ion’s space is committed to by tenants such as Microsoft and Chevron Technology Ventures.
Once completed, the facility will host engineers that work with Microsoft’s Azure cloud computing platform, on data and artificial intelligence and product development, Ravi Krishnaswamy, corporate vice president of Azure Commercial Industry said in a statement. The team will focus on working with customers, partners and startups to help the energy industry’s transition to more sustainable strategies.
In August, Microsoft announced a $1 million investment into social entrepreneurship programs in partnership with the Ion. It will focus support on startups in Houston with a diversity of founders. The company is also supporting initiatives to address health disparity by informing civic and government leaders on air quality.
City leaders have long touted the importance of growing Houston’s technology sector.
“Over the last several years, Microsoft has made it clear it is committed to Houston,” Mayor Sylvester Turner said in a press release. “This news is an exciting next step in our partnership with Microsoft as we continue to grow Houston’s innovation ecosystem and become a leader in the global energy transition.”
Rice announced Chevron Technology Ventures, an arm of the oil and gas giant that scouts and funds energy-related tech startups, as its first tenant for the building over the summer. The company will occupy space on the third floor.
The Ion is designed to anchor a 16-acre “innovation district” in the Midtown area that focuses on bringing together entrepreneurs, incubators, accelerators, corporations and academics, and the community at large when it opens next year.
The 288,000 square-foot building at 4201 Main will include shared workspace, prototyping and maker resources, event space, classrooms and communal areas with shared amenities.
Houston once had a thriving technology scene with Compaq Computer Corp., BMC Software and smaller companies in related industries.
Microsoft’s move is only one example of a recent win for Houston’s tech scene. Earlier this month, Hewlett Packard Enterprise’s announced it planned to move it’s headquarters to Houston, which may not result in a lot of new jobs, but it could be a catalyst to bring more companies to the region.
There are no current plans to change Microsoft’s existing space in Houston at Town and Country as a result of this expansion.