AUSTIN, Texas - The big news that came out of Tesla's Annual Meeting of Stockholders on Thursday is that the company is moving its headquarters from California to Texas.
CEO Elon Musk told shareholders, "I'm excited to announce that we are moving our headquarters to Austin, Texas." Musk made the announcement to uproarious applause.
The new Gigafactory in Del Valle, which sits right on the edge of Austin, will replace the current electric-car company's Palo Alto headquarters. Musk gave no timeline for the move.
They say everything is bigger in Texas and for Tesla's production, that may be the case. But this won't be goodbye to the Golden State altogether.
Musk, a multi-billionaire, who not too long ago surpassed Bill Gates as the second richest person in the world, said: "This is not a matter of Tesla leaving California. Our intention is to increase output from Fremont and Nevada by 50%."
This move may not come as a surprise as Musk had become critical of California, especially during the pandemic. He had already moved to the Lone-Star State in 2020.
He defied local health officials when he prematurely resumed production at his Fremont plant during COVID's shelter-in-place ordinance. The Fremont plant is where Tesla's Model S and Model X cars are built.
He then filed a lawsuit against Alameda County, which was later dropped after county officials appeased Musk's demands.
Bay Area Council, a noted business association, reacted in a statement by wishing Tesla well, but said their departure highlights the region's housing affordability crisis, which has stifled companies ability to grow. They wish that Tesla will someday return.
Everyone seems to have an opinion of Musk, his lifestyle and any news involving his rocket-company, SpaceX, but he certainly has a way of making his mark. The automobile brand debuted a new logo for the occasion: a seal with the Tesla logo and the words, "Don't mess with…" underneath; clearly a play on words for the saying: 'Don't mess with Texas'.