Vehicle manufacturer Tesla is moving its headquarters to Texas.
After previously hinting at it, Tesla CEO Elon Musk has officially announced that the electric vehicle and clean energy company will shift the location of its main office.
"I'm excited to announce that we're moving our headquarters to Austin, Texas,” Musk said in its most recent shareholder meeting, according to Autoweek.
He stated the reason for the move was due to employees in the current headquarters in Palo Alto, California, having difficulty with expensive housing and long commutes to work, but the company has also been facing strict business regulations in California that some believe helped push the decision.
Musk clarified that the business activities in California will continue, saying, "This is not a matter of Tesla leaving California," according to the Los Angeles Times.
Tesla still plans to keep its California plants up and running and actually boost production in the near future. Musk said, "Our intention is to increase output from Fremont and Giga Nevada by 50%. If you go to our Fremont factory, it's jammed," according to Autoweek.
During one of the earnings calls this year, Musk previously announced that Tesla's Cybertruck and Model Y will be produced in Texas.
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