X to shut down flagship San Francisco office – report

X, the social media company formerly known as Twitter, is set to close its flagship office in San Francisco in the coming weeks. This decision follows CEO Linda Yaccarino's announcement that Bay Area employees will be relocated to Silicon Valley, specifically to existing offices in San Jose and a new office planned for Palo Alto. The move aligns with owner Elon Musk's recent declaration to shift the headquarters of both X and SpaceX from California to Texas, citing dissatisfaction with California's regulatory environment, particularly a new law regarding school transgender notification requirements. This closure marks a significant moment for San Francisco, which has already experienced a notable decline in tech firms occupying office space in the downtown area. Since 2019, the largest tech companies have reduced their office space in the city by half, contributing to a vacancy rate of 46% for offices and 40% for retail spaces. Additionally, X has faced legal challenges, including a lawsuit for unpaid rent on its San Francisco headquarters. The city had also investigated X for allegedly adding unauthorized sleeping quarters for employees, but ultimately allowed the company to keep them with a permit.

- X will close its San Francisco office and relocate employees to Silicon Valley.

- Elon Musk plans to move X and SpaceX headquarters from California to Texas.

- The closure reflects a broader trend of tech firms leaving San Francisco.

- The city has seen a significant increase in office and retail space vacancies.

- X has faced legal issues related to unpaid rent and building modifications.