UPDATED 20:27 EDT / JANUARY 14 2021


Digital Realty joins big tech exodus from California to Texas

Data center colocation and interconnection provider Digital Realty Inc. has become the latest tech firm to announce it’s moving its headquarters away from California to Texas, joining an exodus that includes Oracle Corp., Hewlett-Packard Enterprise Co. and Tesla Inc. Chief Executive Elon Musk.

Digital Realty said it was moving to Austin, Texas as it would be able to “better serve its increasingly global customer base” from that location. The company owns 30 data centers in Texas and claims to have “deep roots” in the state since it acquired a regional connectivity hub called 2323 Bryan Street based in Dallas back in 2002.

The company said that it will continue to maintain a “significant presence” in the San Francisco Bay Area, where its current headquarters is located, following the move.

“The central location, affordable cost of living, highly educated workforce and supportive business climate have helped make Texas an epicenter for business activity and technology growth,” said Digital Realty CEO William Stein. “As we continue to make strategic investments to best position Digital Realty for long-term growth, we are confident our expansion in Texas will help us meet the needs of our more than 4,000 global customers, while continuing to deliver value for our stakeholders, employees and the communities we serve around the world.”

Digital Realty’s move to Texas follows a similar announcement by Oracle, which said in December that it will also relocate its HQ to Austin. Earlier that month, HPE revealed that it will move its corporate headquarters to Houston, saying that the city is an attractive market to recruit and retain future diverse talent.

Also in December, Musk that he too is leaving Silicon Valley for Texas. He reportedly said that California had “too much influence in the world” and that living in the state “wasn’t necessarily a great use” of his time.

Photo: Ray_Shrewsberry/Pixabay

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