Elon Musk announces that X and SpaceX will leave California for Texas
The mogul explained that his decision is due to the drug crisis and the state's progressive gender laws.
Elon Musk, owner of X and SpaceX, revealed Tuesday his decision to move the headquarters of both companies from California to Texas. In a statement released on X, Musk argued that his dissatisfaction with the state's new laws and growing insecurity were decisive factors in his decision.
The tycoon announced his decision through a posting on X after California's Democratic governor, Gavin Newsom, signed a law that prohibits schools from informing parents if a student requests to use a name or pronoun different from the one recorded on his or her birth certificate.
Musk explained that the new legislation was the "final straw." He added, "because of this law and the many others that preceded it, attacking both families and companies, SpaceX will now move its HQ from Hawthorne, California, to Starbase, Texas."
The mogul also mentioned that he had already warned Newsom about the potential consequences of policies like this about a year ago. "I did make it clear to Governor (...)that laws of this nature would force families and companies to leave California to protect their children," he expounded.
In addition to moving SpaceX, Musk confirmed that X, formerly known as Twitter, will also change its headquarters. "X headquarters will move to Austin," the entrepreneur announced. Musk also referred to the insecurity and drug crisis in San Francisco, where X's headquarters are located, mentioning, "have had enough of dodging gangs of violent drug addicts just to get in and out of the building."
Texas governor reacts
In response to Musk's announcement, Texas Governor Greg Abbott celebrated the move in a post on X. Abbott noted that SpaceX's move "cements Texas as the leader in space exploration," showing his support for Musk's decision.
Relocation history.
SpaceX and X's move to Texas marks a continuation of Elon Musk's strategy of relocating his companies in response to legal and commercial factors. Previously, Musk moved the headquarters of X (formerly Twitter) from Delaware to Nevada after completing the social network's $44 billion acquisition in 2022.
In addition, Musk moved Neuralink's headquarters, his neurotechnology company, from Delaware to Nevada shortly after the Twitter acquisition. In early 2024, Musk also stated his intention to move Tesla's legal headquarters to Texas after surveying X users about the move.
"You bent the knee"
The governor of California, Gavin Newsom, commented on social networks what happened with a brief message. "You bent the knee," wrote the Democrat as he recalled with a screenshot of the message that Trump published talking about his meeting with Elon Musk at the White House.
Trump spoke very negatively of Tesla products. According to the Republican, electric cars do not have sufficient autonomy and would be nothing without subsidies. In spite of everything, Elon Musk supported Trump.