Many businesses are moving from California and are moving to Texas due to the tax climate. The general economic climate in Texas can be considered business-friendly. The State of Texas provides significant amounts of money to incentivize business in the area. The rich talent pool is another reason companies move to Texas.
In recent years, it has also become an epicenter of innovation. While there are some skill gaps in talent levels, talent costs are lower than those in Silicon Valley. Oracle moved its headquarters to Austin, Texas, late last year. Tesla is also building its new gigafactory there and Apple will host its second largest campus in the capital of Texas.
This influx of Big Tech has sparked conversations that Texas could become a business center that could rival Silicon Valley. In many cases, those transplants are moving to Texas because their companies decided to move here first, and in some cases, those companies receive great incentives from local government in the Austin area.
