Tech leader Elon Musk announced on Tuesday that he is moving the headquarters of his social media company X and SpaceX to Texas. This decision is due to a new California law signed by Governor Gavin Newsom.
Announcement on Social Media
Musk shared this news in two posts on the platform formerly known as Twitter around 12:13 p.m. and 12:30 p.m. He said SpaceX will move from Hawthorne to Starbase, Texas, and X will move from San Francisco to Austin.
This is the final straw.
— Elon Musk (@elonmusk) July 16, 2024
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. https://t.co/cpWUDgBWFe
Reaction
Gabrielle Antolovich, Director of the Billy DeFrank Center in San Jose, said, “Just because he’s rich doesn’t mean he understands the issues he’s talking about.” She shared her own experience of her school telling her parents about her attraction to women, which caused family problems.
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Previous Moves
In 2021, Musk moved the headquarters of his electric car company Tesla from Palo Alto to Austin, but Tesla still has a big factory in Fremont. Musk has also moved his private home from California to Texas.
Changes at X
Musk took over Twitter, now called X, in a $44 billion deal less than two years ago. He made many changes, including firing top executives and a large part of the workforce. In June 2023, he renamed Twitter to X and added a bright, flashing X logo to its San Francisco building. This was quickly removed after complaints and not having a permit.
Reason
Musk said the final reason for the move was a new California law that stops schools from telling parents if their child wants to change their gender. He had warned Governor Newsom about such laws driving families and companies out of California.
Governor Newsom’s Response
Governor Newsom responded to Musk’s posts with a single sentence: “You bent the knee,” along with an image of a tweet by former President Trump suggesting Musk would beg if asked.