Tuesday, July 8, 2025

Musk’s Exodus: California’s New Law Pushes Companies to Texas

Yonhap News

Elon Musk has announced plans to move the headquarters of social media company X and space exploration company SpaceX from California to Texas, following the relocation of Tesla.

On the 16th, The Wall Street Journal (WSJ) reported that Musk decided to move the headquarters of the two companies in response to California Governor Gavin Newsom’s signing a bill that prevents schools from notifying parents if a student declares themselves as homosexual.

Musk criticized Newsom, who has been mentioned as a potential candidate for the Democratic presidential nomination, saying to X, “This is the final straw.” He also highlighted other California laws he believes threaten other families and businesses.

Musk revealed that he had warned Newsom a year ago that these laws would drive families out of California to protect their children.

Musk plans to move the SpaceX headquarters from Hawthorne, California, to near Brownsville and the X headquarters from San Francisco to Austin, Texas.

X has had its headquarters in San Francisco for over a decade, before Twitter’s days, before Musk’s takeover in 2022.

Musk expressed frustration with the presence of “violent drug addicts” coming and going from the X headquarters in San Francisco.

Last year, Musk criticized San Francisco city officials and police for their lenient approach to crime, stressing that many Twitter employees felt unsafe commuting to downtown San Francisco. He also mentioned incidents where car windows were broken.

Tesla moved its headquarters to Texas in 2021 but left its engineering headquarters in Palo Alto, California.

While it remains uncertain if part of X will stay in San Francisco, if X and SpaceX relocate, only Neuralink and xAI will continue to operate in California.

Currently, about 1,800 employees work at Starbase, the rocket industry complex where the SpaceX headquarters will relocate, making it the area’s largest employer.

SpaceX has been conducting engine and hardware tests in McGregor, Texas, and Musk’s satellite internet company, Starlink, has completed a terminal manufacturing plant near Austin.

Meanwhile, Musk has officially endorsed former President Donald Trump, who narrowly escaped a shooting incident at a rally in Pennsylvania on Saturday.

He is also known to indirectly donate $45 million per month to Trump’s election campaign fund.

Many analyzed Musk’s actions, which show that he increasingly takes a conservative stance on social issues.

Hot this week

Apple’s FaceTime May Now Pause Your Call If Nudity Is Detected

Apple introduces nudity detection in FaceTime, pausing calls when nudity is detected, raising privacy concerns among users.

Nippon Steel Eyes Comeback as World’s No.1 with Massive U.S. Push

Nippon Steel aims to boost crude steel production by 60% through U.S. Steel acquisition and significant investments in technology.

Leaked Pics Show Samsung’s Galaxy Z Fold 7 — Thinner, Lighter, and Sleek

Leaked images reveal Samsung's Galaxy Z Fold 7, featuring a thinner design, advanced specs, and set for unveiling on July 9.

U.S. to Hit 90 Countries With Tariffs—Unless They Make a Deal Fast

The U.S. plans to notify trading partners of tariff rates as Trump favors simpler deals over complex negotiations.

Tesla Sales Keep Slipping, But Stock Still Jumps Nearly 5%

Tesla's vehicle sales fell 13.5% year-on-year in Q2, with deliveries below market expectations, but stock surged nearly 5%.

Topics

Apple’s FaceTime May Now Pause Your Call If Nudity Is Detected

Apple introduces nudity detection in FaceTime, pausing calls when nudity is detected, raising privacy concerns among users.

Nippon Steel Eyes Comeback as World’s No.1 with Massive U.S. Push

Nippon Steel aims to boost crude steel production by 60% through U.S. Steel acquisition and significant investments in technology.

Leaked Pics Show Samsung’s Galaxy Z Fold 7 — Thinner, Lighter, and Sleek

Leaked images reveal Samsung's Galaxy Z Fold 7, featuring a thinner design, advanced specs, and set for unveiling on July 9.

U.S. to Hit 90 Countries With Tariffs—Unless They Make a Deal Fast

The U.S. plans to notify trading partners of tariff rates as Trump favors simpler deals over complex negotiations.

Tesla Sales Keep Slipping, But Stock Still Jumps Nearly 5%

Tesla's vehicle sales fell 13.5% year-on-year in Q2, with deliveries below market expectations, but stock surged nearly 5%.

S&P and Nasdaq Hit New Highs Ahead of July 4th Holiday

The New York stock market showed mixed results as the Dow dipped while the S&P 500 and Nasdaq hit record highs ahead of Independence Day.

Trump Rules Out Tariff Extension, Warns Japan Could Face 35% Rates

Trump announces no extension on tariff suspension, warns Japan tariffs could rise to 30-35% amid uncertain trade negotiations.

Oil Prices Rebound as Trump Plans to Refill U.S. Reserves

Oil prices rebound as Trump plans to replenish the Strategic Petroleum Reserve, boosting demand expectations amid positive economic indicators.

Related Articles