Does WeWork Corporate Deal Mean the Traditional Office is Dead?

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Global mega-corporate IBM has just signed a deal with coworking space provider WeWork that will see its staff take over an entire flexible office location in New York. The deal builds on WeWork’s success in providing flexible workspaces for startups and freelancers and shows the firm’s clear intention to extend its appeal into the lucrative area of corporate clients.

The deal will see IBM move around 600 employees in to WeWork’s 88 University Place building in central New York, which will become the tech giant’s corporate office. WeWork will continue to fully manage the building which occupies 8 out of 10-floors, with around 70,000 sq ft of shared workspaces, private offices and meeting rooms.

More Corporates see Coworking Spaces as The Only Way Forward

WeWork’s Enterprise division set out to grow its corporate client base at the beginning of last year, and in an update last week announced that major companies now occupy 30 full floors at WeWork buildings. The firm now has five buildings around the world that are occupied by one or two corporate clients, with large companies of more than 500 employees accounting for 20% of WeWork’s membership.

There are very clear signs that the corporate world is starting to appreciate the cost-benefits of all-inclusive managed office spaces with shorter commitments than with traditional office leasing. Last November, Microsoft agreed to buy 300 WeWork memberships for 300 employees, allowing them to work from any of the coworking firm’s locations. Meanwhile, HSBC rented 300 desks in its Hong Kong location.

Signature Works brings Corporate Coworking to the UK

Signature Works is making bold strides in the coworking sector here in the UK, with three stunning coworking locations scheduled to open in the centre of Liverpool in the coming months. We have been responsive to the needs of corporate clients from inception and consequently all our locations are designed to meet the needs of three specific user groups: Freelancers, SMEs and Corporates. We want to fill our coworking spaces with diversity and enterprise by appealing to all types of office-worker.

Very soon, the traditional office will be extinct and everyone will work from a managed coworking space or from offices that are designed in the same style. The world is no longer 9 to 5 and only available at the office and finally, we’re slowly waking up to that fact. Find out more about how you can make significant savings on overheads and business rates when you switch to working from our super-cool coworking spaces and contact us today.