On Tuesday, billionaire Elon Musk announced on X that he intends to relocate SpaceX from Hawthorne, California, to Starbase, Texas, and move X's headquarters from San Francisco to Austin.

This decision comes in response to a new California law, signed by Governor Gavin Newsom on Monday, which prohibits school districts from requiring staff to inform parents about their child's gender identification change.

Musk expressed his frustration, stating, "This is the final straw," and noted that he had warned Governor Newsom about a year ago that such laws would compel families and companies to leave California to safeguard their children. In 2021, Musk's company Tesla also shifted its corporate headquarters from Palo Alto, California, to Austin, Texas.

Elon Musk has additionally stated that he has relocated his residence from California to Texas, citing the absence of state personal income tax in Texas as a factor in his decision.

On Monday, Bloomberg reported that Elon Musk was making donations to a political group aimed at supporting presidential candidate Donald Trump. The Wall Street Journal indicated that these donations were expected to amount to approximately $45 million (£35 million) per month.