Elon Musk loses SpaceX subsidies after signaling willingness to move Tesla from California, report says

By Brian Womack,,  Dallas Business Journal  

Elon Musk got some push back from a California panel less than a week after he signaled he was open to move Tesla’s headquarters and future programs.

SpaceX, where Musk is also CEO, was turned down for a request of more than $650,000 in state job and training funds, according to a report from Reuters.

The entrepreneur’s willingness to move Tesla (Nasdaq: TSLA)  to Texas or Nevada didn’t sit well with some on California’s Employment Training Panel.

“In my opinion, given the recent threats of the CEO to leave the state of California, and everything else we’ve discussed today, this proposal does not rise to the level for me to feel secure in supporting it,” said Gretchen Newsom, a panel member and the political director of an IBEW electrical workers union local, according to the report. “SpaceX is a different company, but they have the same CEO.” 

Newsom, who is not related to the state’s governor with the same last name, took to Twitter on Saturday, writing it’s “time for Elon Musk & Silicon Valley to slow down and stop breaking things at the expense of workers, and instead help create a California that works for all.”

It is time for Elon Musk & Silicon Valley to slow down and stop breaking things at the expense of workers, and instead help create a California that works for all.

Elon Musk reflects Silicon Valley’s ‘move fast and break things’ culture

We’ve come to understand that for too many Silicon Valley firms, moving fast means breaking things at other people’s expense. And permission is not necessary.

sfchronicle.com

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