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Why SpaceX decided to leave Southern California?

Avatar of Ricardo Roura

By Ricardo Roura

16 Jul 2024, 18:44 PM EDT

SpaceX, the aerospace company known for its innovative rockets and space capsules, is abandoning its headquarters in Hawthorne, Los Angeles County.to move to Texas, its founder, Elon Musk, announced on Tuesday.

On social media, Musk announced SpaceX’s departure from Californiawhich has billions of dollars in federal government contracts, will deal a severe blow to the regional economy and likely cause significant job losses.

This is the final straw.

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. https://t.co/cpWUDgBWFe

— Elon Musk (@elonmusk) July 16, 2024

According to a September 2023 document filed in the U.S. District Court for the Southern District of Texas, SpaceX employs more than 13,000 people at its facilities across the United States, including California..

Keep reading: Fired SpaceX workers sue Elon Musk for sexual harassment

According to the Los Angeles County Economic Development Corporation, The aerospace industry as a whole accounts for more than 57,000 jobs across the county.with an average salary of $136,473 in 2022.

For now, Hawthorne city officials have not issued any comment regarding the aerospace company’s departure.how it could affect the local labor market.

Elon Musk, CEO and CTO of SpaceX, listens to a question from the media in front of the SpaceX Dragon V2 spaceship at the headquarters on Thursday, May 29, 2014, in Hawthorne, Calif.  SpaceX, which has flown unmanned cargo capsules to the International Space Station, unveiled the new spacecraft Thursday designed to ferry astronauts to low-Earth orbit.  (AP Photo/Jae C. Hong)
Elon Musk takes his rockets and space capsules to Texas.
Credit: Jae C. Hong | AP

Musk, who also announced that Social Network X will move from San Francisco to Austin, said that “the straw that broke the camel’s back” a new law signed this Monday by the governor of California, Gavin Newsomwhich prohibits school districts from notifying parents about their children’s gender identification change.

Keep readingStrange lights are flying across the skies of Southern California and SpaceX could be involved

“I made it clear to Governor Newsom about a year ago that laws of this nature would force families and businesses to leave California to protect their children“Musk said.

This is not the first time that the owner of X has changed the headquarters of one of his California companies. In 2021, Musk, who is CEO of Tesla, moved his corporate headquarters from Palo Alto to Austin, Texas..

Keep reading: Elon Musk enters the world of espionage thanks to one of his best-known companies

In addition, Musk has also said that moved his residence from California to Texaswhere there is no state personal income tax.

In recent months, the businessman has become increasingly involved in politics. Musk supported former President Donald Trump’s presidential campaign minutes after the now Republican presidential candidate was the target of a shooting in Pennsylvania.

Keep readingNASA and SpaceX successfully launch eighth crewed commercial mission to the International Space Station

Musk has in the past resisted making large political donations.and even went so far as to say that he was trying to stay out of politics, despite his conservative rhetoric on immigration and cultural issues.

Keep reading:
· Odysseus makes history by becoming the first private module to successfully land on the Moon
· SpaceX had to destroy hundreds of satellites that were in space for this incredible reason
· Elon Musk announces that SpaceX will now be registered in Texas: what is behind this decision?