Tesla boss Elon Musk is relocating company headquarters to Texas – and is moving there himself. Tesla is officially relocating its headquarters from Silicon Valley to Texas. CEO Elon Musk announced the move on Friday night at the electric car manufacturer’s general meeting.
It has already been held at the new headquarters in the city of Austin, where Tesla is building a large plant.
Until now, Tesla had its headquarters in the heart of Silicon Valley, in Palo Alto. When making the announcement, Musk pointed out, among other things, that the cost of living for employees in Texas was lower. In the Californian home of large tech companies such as Apple, Google and Facebook, for example, houses are expensive and many take a long journey to work.
Many employees of tech companies had used remote working in the corona pandemic to move from the greater San Francisco area to cheaper regions of the United States. But the SAP competitor Oracle and the IT group HPE also relocated their headquarters from Silicon Valley to Texas last year.
Elon Musk is also moving to Texas
Musk had already threatened to move the company headquarters to Texas last year in the dispute over the closure of the main plant in Fremont near San Francisco. He was dissatisfied with the fact that the factory was temporarily shut down due to corona restrictions and called the measures “fascist”. Musk himself also moved from Los Angeles to Austin. Musk has been selling its California real estate since summer 2020.
The Tesla activities in California are to be expanded at the same time, said Musk now. Among other things, the capacity in Fremont will be increased. However, there is little free space. In addition to the factory in Texas, Tesla is also building its first European plant in Grünheide near Berlin.
It is somewhat ironic that the company is moving to a US state, of all places, where it has to sell its cars indirectly. Because direct sales without a car dealership are banned in Texas – and Tesla’s business model means that customers configure the cars online.