Oracle Moving HQ From Silicon Valley To Texas
REDWOOD CITY, Calif. (CBSDFW.COM/AP) — Tech giant Oracle Corp. said Friday it will move its headquarters from Silicon Valley to Austin, Texas, and let many employees choose their office locations and decide whether to work from home.
The business software maker said it will keep major hubs at its current home in Redwood City, California, and other locations.
"We believe these moves best position Oracle for growth and provide our personnel with more flexibility about where and how they work," the company said in a regulatory filing.
The move comes the same week that Tesla founder Elon Musk announced that he has moved to Austin. Musk had criticized California officials for restrictions designed to limit the coronavirus pandemic.
Texas Gov. Greg Abbott released a statement Oracle's decision:
"Oracle is a global technology giant with an already strong presence here in Texas, and we are proud to welcome its headquarters to Austin. While some states are driving away businesses with high taxes and heavy-handed regulations, we continue to see a tidal wave of companies like Oracle moving to Texas thanks to our friendly business climate, low taxes, and the best workforce in the nation. Most important of all, these companies are looking for a home where they have the freedom to grow their business and better serve their employees and customers, and when it comes to economic prosperity, there is no place like the Lone Star State."
Texas has long targeted companies in high-cost California for relocation. This month, Hewlett Packard Enterprise, one of the early companies in Silicon Valley, said it will move to the Houston area and build a campus with two five-story buildings by 2022. In 2018, Toyota shifted its U.S. headquarters from Southern California, to Plano, Texas, a Dallas suburb.
In its most recent fiscal year, which ended May 31, Oracle reported earnings of $10.1 billion on revenue of about $39 billion. The company was founded in Santa Clara, California, in 1977 and as of May 31, employed about 135,000 people.
(© Copyright 2020 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.)
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