Science

Elon Musk Announces Tesla to Move Headquarters to Austin

Tesla CEO Elon Musk said the company will move its headquarters from Palo Alto, California, to Austin, Texas, a city that has recently seen a surge in tech companies and remote workers. Musk broke the news at Tesla, Inc.’s annual shareholders meeting in 2021, which took place at Tesla Austin’s gigafactory, rather than in the Bay Area as in previous years.

Musk also said that Tesla will continue to expand its California operations, increasing production at its Fremont gigafactory by 50%, though he did not say how it would achieve such an increase in production. Currently, the plant is capable of producing approximately 500,000 Model 3 and Model Y per year and another 100,000 Model S and Model X per year.

Last May, Tesla filed a lawsuit against Alameda County for the closure of the company’s manufacturing plant in Fremont, California, to stop the spread of COVID and limit activities that were not considered essential and threatened to withdraw its company. state. The automaker withdrew the lawsuit a few weeks later, but Musk was certainly delighted, tweeting: “Frankly, this is the last straw. Tesla will now immediately move its corporate headquarters and future plans to Texas / Nevada. If we continue. even just Fremont’s manufacturing activity will depend on how Tesla is treated going forward. Tesla is California’s last automaker. “

The drama with Alameda County was not mentioned during the shareholders event. Rather, Musk attributed the move to Texas in part to a location more accessible to workers.

“It’s hard for people to pay for a house and people have to come from far away,” Musk said. “There is a limit to how much you can climb in the Bay Area. In Austin, our factory is five minutes from the airport, 15 minutes from downtown.

Musk said Tesla plans to build “an ecological paradise” in Austin, near the Colorado River.

During the event, Musk also provided updates on the Cybertruck, which he said would begin production in late 2022, with “volume production” by 2023. Tesla Semi and Roadster would follow suit. Production would begin in late 2023.

Musk cited multiple supply chain failures, including continued semiconductor shortages, as the reason for the delay.

“The Seed in particular needs many cells, it needs many cells. [and] lots of fries, ”he said.

Although Tesla introduced the Semi Prototype in 2017 and the Cybertruck in 2019, both vehicles have faced repeated delays since then, and always, due to supply chain problems.

This is a developing story. Check back for updates.

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