The Washington Post - citing two people who were familiar with company's thinking - said the company is considering pulling out of the deal after continually running into resistance from some local ny officials.
"The question is whether it's worth it if the politicians in NY don't want the project, especially with how people in Virginia and Nashville have been so welcoming", one person familiar with the company's plans told the Post.
Days later, the State Senate nominated NY senator Michael Gianaris, a vocal opponent of the Amazon deal and a representative for the district where its new headquarters is slated to be, to the Public Authorities Control Board, which ultimately has to approve the Amazon deal in order for it to go forward.
Congresswoman Alexandria Ocasio-Cortez commented on the report via Twitter and said, "Can everyday people come together and effectively organize against creeping overreach of one of the world's biggest corporations?".
"Why should we subsidize the creation of 25,000 Amazon jobs when Amazon's entire business model seeks to eliminate millions of retail jobs", he said.
Of course, Amazon has heavily researched other cities and may still be in conversation with some of them for potential future sites. "There's going to be tremendous pressure on Amazon to allow unionization, and I will be one of the people bringing that pressure".
Last month, New York City Council Speaker Corey Johnson said no one should assume it's a "done deal".
"And that's what could stop Amazon", he said at an unrelated event on Long Island.
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The Post added that no specific plans to abandon NY have been made and it's possible Amazon could use them as a threat to pressure NY lawmakers.
No specific plans to abandon the NY location has been made.
Lawmakers and advocates say the reforms are needed to reduce the number of people sent to prison and make the state's criminal justice system fairer and more focused on rehabilitation.
Cuomo has the final say over appointments to the PACB, which could ultimately have to weigh in on certain funding for the Amazon deal.
Amazon, for its part, has tried to win over its future neighbors.
Several local officials and newly elected Democratic Representative Alexandria Ocasio-Cortez, whose district borders the NY site, opposed the Amazon deal.
Amazon's attempt to establish a stronger foothold in NY comes as the e-commerce giant continues to ramp up its presence in the digital advertising space, which is now dominated by Facebook and Google. "I am against the deal that has been proposed and don't believe that it can form the foundation of a negotiation", Gianaris recently told the New York Times. However, if Amazon were to follow through on the alleged threat and pull out from the plan, it could impact agencies and brands alike. Gianaris isn't thrilled about the $3 billion in city and state incentives promised to the mega-retailer.