Elon Musk: X, SpaceX headquarters to join Tesla in Texas

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Published 19 Jul 2024

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Elon Musk revealed his plans on July 16 to relocate X and SpaceX headquarters from California to Texas—looking to establish the state as Musk Country.

This announcement is not the first time for Musk as he already performed a similar gimmick in 2021 when he moved Tesla’s head office from Silicon Valley to Austin over feuds with California’s policies on COVID-19 restrictions and taxes during the pandemic.

Now, he has made public on X that The Golden State passed yet another law that goes against his beliefs.

‘The final straw’

On the same day the news about the relocation was made, California Governor Gavin Newsom signed a law bill that prohibits school districts from notifying parents when a child changes their gender identity, name, and pronouns at school.

This move was the first in the U.S. that outlawed the requirement of disclosing to parents when their child undergoes gender transition.

Airing his opposition through a post on X, Musk, who has a history of falling out with his son who identifies as a woman, criticized the law and called it “the last straw”.

“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,” he wrote.

He also claimed that he has “had enough of dodging gangs of violent drug addicts just to get in and out of the building,” which led him to the decision to transfer X out of San Francisco and set up headquarters in Austin.

According to The San Francisco Chronicle, X has already been planning to sublease all its San Francisco offices ahead of this news.  

Leading the pack

Musk is confident that “many will follow” him to Texas based on his response to an X post by investor Jason Calacanis, who also expressed the same sentiment as Musk, stating he was “done with California.”  

His confidence in the possibility of Musk Country also stems from a recent win with Tesla shareholders who voted not only in favor of his multibillion pay package but also the reincorporation of the automotive company in the Lone Star State.

Moreover, Musk is counting on his influence, which enabled him to rally others to join his causes before. This was evident in the 2020 U.S. presidential election when his public and financial backing of Donald Trump led to more tech businessmen showing their support for the Republican candidate.

Troubles and Doubts in Texas

While Musk has chosen to depart from California to Texas, other firms have decided to take the return trip back to California.

One of them is the Larry Ellison-led Oracle, which transferred headquarters from Redwood City, California, to Austin in 2020 but declared in April that it was jumping back again to California—only this time in Nashville.

Asked about his reason, Ellison explained that Nashville was a “fabulous place to live” where he could raise a family and operate his business with significant exposure to the healthcare industry.

There have been many talks about the difference in opportunities in Texas and Silicon Valley, which might have caused frustration among workers who held high expectations. Considering these, Musk’s plans to fully go South are not yet concrete.

Only time will reveal whether or not Texas can become Musk Country.