Elon Musk vs. California: what exits of X and SpaceX mean for the Golden state

Elon Musk has announced the relocation of his companies X and SpaceX from California to Texas, marking the end of a long-standing conflict between the billionaire and the state. Musk cited a new California law regarding school transgender notification requirements as the reason for the move, expressing concerns about parental rights and children's well-being. This decision comes shortly after Musk publicly supported former President Trump and pledged significant financial contributions to a Super Pac backing Trump. Despite receiving substantial tax breaks and incentives in California over the years, Musk has criticized the state for its high taxes, overregulation, and litigation. The relocation is expected to reignite discussions about San Francisco's economic challenges, with X being one of the last major tech companies with significant facilities in the area. While symbolic, the move may have limited practical implications as many employees and customers will likely remain in California. Experts suggest that convincing employees to relocate from California to Texas may prove challenging due to political and lifestyle differences between the two states.