As I was scrolling Instagram, I noticed a realtor referred to Austin as the next Silicon Valley. While this transformation has been happening for years, this came shortly after the news that Elon Musk, the founder of Tesla, is relocating. Not only is Elon relocating, but he is bringing Tesla factories along with him. This is on top of the numerous other tech companies moving to Austin.
In 2019, the Austin Chamber of Commerce reported 58 companies relocating to Texas. This is in addition to all the expansions companies are doing in the Austin area such as Google, Atlassian, Amazon, and Apple.
Some of the shift is due lower cost of living, more space, and no income tax. And let’s be honest, Austin is a pretty cool place to live. The people, culture, weather, and vibe are hard to beat.
Although companies of all sizes ranging from startups to big companies such as Tesla are relocating to Austin, we’ve compiled a list of big tech companies making the move. We expect this number to grow throughout the year, but here’s what we know so far.
Tesla has big factories going in just outside of Austin as well as the Starship Development in South Texas. Because of this, it’s not surprising that Elon Musk announced he is making Austin his primary residence. The cost, strict enforcement of COVID precautions, and high taxes were some of the reasons Elon decided to make the lone star state his primary residence. With Elon making the move, we expect even more tech CEOs to flock to Austin.
Oracle, the world’s largest database company, announced they are moving their headquarters from Silicon Valley to Austin. Their main motivation was to lower the cost for their company and employees. Austin is about half the living cost of Silicon Valley. This alone will bring in multiple thousands of workers.
Facebook is continuing to increase its expansion in Austin but is considering moving their headquarters to the lone star state.. They already have multiple locations in Austin but recently signed on for a 32,000 square foot office building in North Austin.
CEO of 8VC, Joe Lonsdale, who was already a Texas resident also confirmed his firm’s move to Austin. Joe claims he is moving his company for several reasons but the main reason being, Austin is more tolerant of ideological diversity than their current headquarters, San Francisco.
Dropbox CEO, Drew Houston, is moving to Austin. He has purchased a house in the Austin area and is about to become a full time resident. Although, not confirmed, rumor has it that he will also have a large Dropbox office presence in Austin.
In this article, we only skimmed the surface of companies relocating. We expect this number to grow as companies and employees are fleeing the bay area and settling down in the lone star state. With remote work on the rise, lower cost of living, and income tax free incentives, it’s no surprise. Not to mention, Austin is awesome. Forget the money incentives, the people and culture alone make the move worthwhile. Make sure to give these new Texas residents a warm Texas welcome with a “That Finishing Touch” gift basket. Alright, alright, alright.