Elon Musk: SpaceX and X HQs Leaving California Over Gender Identity Law

Billionaire tech entrepreneur Elon Musk announced on Tuesday that the headquarters of SpaceX and X, formerly Twitter, will move out of California and relocate to Texas. Musk cited the recent gender identity reporting legislation signed into law by California Governor Gavin Newsom as the final impetus for his decision.

“This is the final straw,” Musk declared in a post to X. “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.” He added in another post, “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 also announced that X’s headquarters, currently in San Francisco, will be moved to Austin. He criticized the conditions in San Francisco, stating, “Have had enough of dodging gangs of violent drug addicts just to get in and out of the building.”

Texas is already home to SpaceX’s Starbase launch site and rocket factory, as well as NASA’s Lyndon B. Johnson Space Center in Houston. The state’s GOP governor, Greg Abbott, responded to Musk’s announcement with enthusiasm, posting, “Moving the headquarters of SpaceX cements Texas as the leader in space exploration.”

Musk's announcement came in response to tech investor Jason Calacanis’s post questioning the new California law. Calacanis reacted to a post from Libs of TikTok, which highlighted that Governor Newsom signed AB1955, prohibiting schools from notifying parents if a child identifies as transgender. “Get your kids out of public schools,” the post urged.

As reported by The Daily Wire, the legislation makes California the first state to ban school districts from alerting parents about their children's sexuality, pronouns, or gender identities that conflict with school records. Musk warned, “A lot of families and companies will move out of California because of this law. Who would want to risk the state taking away their kids?”

This is not Musk’s first move away from California. In 2021, he announced that Tesla's headquarters would relocate from Palo Alto to Austin. Earlier this year, Musk also moved SpaceX’s incorporation from Delaware to Texas. Additionally, his other companies, The Boring Company and Neuralink, have offices in Texas.

Musk's relocation announcement follows his endorsement of Donald Trump over the weekend, after the former president survived an assassination attempt at a Pennsylvania rally. “I fully endorse President Trump and hope for his rapid recovery,” Musk posted, sharing a video of Trump with blood on his face raising his fist in the air surrounded by Secret Service personnel.

Furthermore, The Wall Street Journal reported that Musk committed to funding the new America PAC, supporting Trump, with $45 million a month.

Share this article or subscribe to our newsletter for more updates on this developing story and other economic news.