Elon Musk has announced that Tesla is moving its headquarters from California to Austin, Texas. He had expressed frustrations over pandemic restrictions in California back in 2020, and now, housing and commuting costs for workers have factored into the decision. He also notes that scalability in the bay area has limitations that can hold back future growth. The CEO already moved to the Austin area in December 2020. The new factory is set to manufacture the Cybertruck. It is also in a prime location close to the airport and downtown.
Tesla is one of several tech companies making Texas its new home or point of expansion. Samsung also recently announced it would be building a $17 billion chip plant in Taylor, Texas. Samsung had originally planned to build in Austin, expanding an existing campus, but then chose the nearby suburb instead for better tax breaks and other reasons. Hewlett Packard Enterprise has similarly said it is moving to the Houston area.
Tesla will move its headquarters from California to Austin, Texas, where it is building a new factory, its chief executive, Elon Musk, said at the company’s annual shareholder meeting on Thursday.
Mr. Musk revealed the company’s move after shareholders voted on a series of proposals aimed at improving Tesla’s corporate governance.
Source: NY Times