Amazon opens the highest Berlin office complex: Chance or threat to startups?

Amazon opens the highest Berlin office complex: Chance or threat to startups?

Berlin-Friedrichshain, Deutschland - The "Edge East Side Berlin", the highest office building in the capital, was officially inaugurated. With an impressive height of 140 meters and 37 floors, it is not only an architectural feature, but also an important location for the tech and start-up scene in Berlin. The main tenant of the almost 80,500 square meter office building is Amazon, which has set up a new research and development center here. Currently 700 employees work in the tower, but the number should increase up to 2,500.

The office building is located opposite the Warschauer Straße S-Bahn station and is in the immediate vicinity of the RAW site. Software developers, AI experts, designers and project managers work on the upper floors. The "Kiezlab" is operated on the lower floor of the building, with over 1,400 square meters for local initiatives that offers free office space, training rooms and workshops. At the opening, Amazon expressed the plan to further increase the number of employees by 500 and thus strengthen the innovative strength in the region.

The construction and its effects

The construction time of the "Edge East Side" was four years and involved 250 companies. During the construction, the soil was compressed under the foundation of the Warsaw Bridge to avoid potential damage. It is also noteworthy that low-carbon concrete was used for the first time in Germany that reduces CO2 emissions by 50 percent. This sustainable construction contributes to the environmentally friendly development of the city.

The fact that the building is used exclusively as a commercial property and does not housing any apartments, but raises questions about the tense living situation in Berlin. Critics, such as the alliance "Berlin VS Amazon", accuse the technology group of causing rising rents and repression in the neighborhood with its influence. Amazon rejected these allegations and argues that the lack of living space was a result of the growing attractiveness of Berlin. Jonathan Weiss, Head of Amazon, announced interest in creating affordable living space.

start-up scene in Berlin

The challenges in front of Berlin are understandable. The city must preserve an attractive ecosystem for start-ups, students and creative people, while at the same time competing with cities like Munich, which are also considered strong tech locations. Berlin recorded most of the company foundations per 100,000 inhabitants in 2023. Christoph Stresing, Managing Director of the Federal Association of German Startups, expressed concerns about employee loyalty to start-ups, but also recognizes the positive effects that large companies can have on the local ecosystem

The innovation smiths of Berlin, the technology and founding-oriented centers, offer an important infrastructure for future companies. These facilities support start-ups and small companies with coaching, mentoring and financial support. They offer space for networking between business and science and are designed to enable young companies in technological areas to establish a settlement, such as "https://www.businesslocationcenter.de/wirtschaftsbindellations/technology-und-zukunst-in-berlin/technology-und-gruender-in-berlin/"> Business Location Center reported.

In addition to the challenges and opportunities associated with the construction of the "Edge East Side", the success of the location is a sign of Berlin's continuing development as a technological hub and innovation center. The city remains a magnet for companies and start-ups and strives to further consolidate its position in international competition.

for Berlin and its growing tech scene, it remains essential to promote innovations and at the same time find socially acceptable solutions. The dialogue about the effects of large corporations on the housing market is of great importance.