California Gov. Gavin Newsom (D) took to social media to criticize Elon Musk’s decision to relocate his aerospace company, SpaceX, and social media platform, X, out of the state following the signing of a controversial law related to transgender children, via The New York Post.
“You bent the knee,” Newsom posted on X, along with a screenshot of a 2022 post from former President Trump criticizing the billionaire.
Earlier Tuesday, Musk had announced that Newsom’s signing of a bill, which bans school districts from requiring parents to be notified if their child decides to change their gender identity, was “the final straw.” The Tesla CEO elaborated on his decision by stating, “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.” Musk also added that X would relocate its headquarters from San Francisco to Austin, Texas.
Musk expressed his frustration, saying he had warned Newsom “about a year ago that laws of this nature” would drive people and businesses out of California. His announcement signals a significant shift for both companies, highlighting ongoing tensions between Musk and state legislators over regulatory policies.
Newsom’s retort included a post from Trump, in which the former president claimed credit for Musk’s successes. Trump’s 2022 post read, “When Elon Musk came to the White House asking me for help on all of his many subsidized projects, whether it’s electric cars that don’t drive long enough, driverless cars that crash, or rocketships to nowhere, without which subsidies he’d be worthless, and telling me how he was a big Trump fan and Republican, I could have said, ‘drop to your knees and beg,’ and he would have done it.”
This public exchange has reignited discussions on the influence of political decisions on business operations and the complex relationship between government policies and corporate strategies.
Adding fuel to the fire, Musk recently endorsed Trump following an assassination attempt on the former president. Additionally, Musk has donated to the America PAC, with plans to contribute around $45 million a month. This support underscores Musk’s shifting political affiliations and his growing involvement in national politics.
The Hill has reached out to X for a comment on Newsom’s post. As the debate continues, the implications of these moves on the business landscape and political discourse in California and beyond remain to be seen.