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Elon Musk Relocates X Company from San Francisco, Citing ‘Last Straw’ Dispute with Gov. Newsom

August 6, 2024
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Elon Musk announced that he would be relocating his social media company X, formerly known as Twitter, from San Francisco, California, to Texas due to political differences and financial incentives.

“Have had enough of dodging gangs of violent drug addicts just to get in and out of the building,” Musk said on his platform, X. Musk has been critical of Governor Gavin Newsom (D-Calif.) for the state’s policies. A recent law passed by Newsom was the “final straw,” according to Musk.

The new law states that California public school teachers are not required to notify parents of any change in a student’s preferred gender identity or sexual orientation without first receiving consent from the child. Musk opposes the allowed secrecy between parents and their underage children regarding gender identity or sexual orientation.

Musk mentioned that he had warned Governor Newsom about a year ago that such laws would drive families and companies out of California to protect their children.

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This is the final 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. https://t.co/cpWUDgBWFe

— Elon Musk (@elonmusk) July 16, 2024

The governor of California just signed a bill causing massive destruction of parental rights and putting children at risk for permanent damage.

Important to read this: https://t.co/6GNnEurZ3v

— Elon Musk (@elonmusk) July 16, 2024

X CEO Linda Yaccarino commented on the relocation, stating that the office will close “over the next few weeks.” She described the decision as “the right one for our company in the long term.” “For those based in San Francisco, I know this will impact you all in different ways. Leadership is actively working on plans, including transportation options, for those directly impacted,” Yaccarino said in a company memo.

Employees in San Francisco will now need to commute to other “primary locations,” such as San Jose or Palo Alto, if they wish to stay with the company. The San Francisco mayor’s office responded to the news: “We are aware of Elon’s plans to move a small remaining number of employees from X’s HQ out of San Francisco. Our focus remains on working with and supporting the many businesses that call S.F. home, from global headquarters to leading AI companies, and thousands of small businesses.”

Additionally, Bob O’Donnell, President and Chief Analyst at TECHnalysis Research, commented, “Seeing Musk move X out of San Francisco is honestly not a big surprise.” He added, “I think at the end of the day, it’s probably going to be a little bit of both. I’m sure there are economic reasons for this, but I’m sure he’s also relishing in the fact that he thinks he’s making this big political statement by moving people out of San Francisco.”


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