Elon Musk revealed that his companies SpaceX and X will move into new headquarters in Texas from San Francisco, California.
The CEO revealed that the decision was finalized after California Gov. Gavin Newson signed a new law that would prohibit school districts from disclosing gender identification changes to parents.
Musk Transitions Owned-Companies Outside California
Musk previously removed his automotive company from Palo Alto, California in 2021. Tesla's corporate headquarters has been located in Austin since then.
The CEO himself also moved his residence from California to Texas. This allowed Musk to avoid state personal income tax due to a specific state law in Texas.
Musk shared the relocation news on X, stating that SpaceX headquarters is moving from Hawthorne, California to the company's rocket launch site, Starbase in Texas. Social media company X is also moving out of San Francisco in favor of a new Austin headquarters.
Musk Cites New California Law for Companies' Relocation
Musk revealed that the new law signed by Newson was the "final straw" for him. California became the first U.S. state to remove the requirement to notify parents of their child's gender identification change.
"I did make it clear to Governor Newsom about a year ago that laws of this nature would force families and companies to leave California to protect their children," Musk wrote.
The law states that disclosure of gender identity and sexual orientation must be under the student's permission. The proponents justified that it would help protect LGBTQ+ students.
Newsom's spokesperson, Brandon Richards, said that the law will still protect the critical role of parents. It will also prevent politicians and school staff from inappropriate intervention for deep family conversations.
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