Less regulation, lower costs According to the conservative think tank, it is a combination of high regulations and taxes in California and a more business-friendly environment along with a lower cost of living in Texas. Some have publicly complained about poor city and state administration. California has implemented restrictions related to Covid-19 that some in technology, particularly Musk, criticized. Florida and Texas, by comparison, have implemented somewhat less stringent restrictions.
As of November, 39 technology companies and other industries had moved to Austin so far this year, according to data from the Austin Chamber of Commerce. Real estate brokerage firm Fortune 500 CBRE moved the company's headquarters from Los Angeles to Dallas.