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Tesla Announces Global Engineering Headquarters in California, Throws Lavish Party

Tesla announces global engineering headquarters in California 11 photos
Photo: Tesla | Edited
Tesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in CaliforniaTesla announces global engineering headquarters in California
Tesla may have moved its headquarters from California to Texas in 2021, but the Golden State has remained important for its operations. Tesla still manufactures most of its North-American vehicles in Fremont, and now it has announced setting up its global engineering and AI headquarters in Palo Alto.
Elon Musk may have turned from left to right in the past year, but he still closely relates to both sides of the political spectrum. On Wednesday, Musk and California Governor Gavin Newsom jointly announced Tesla’s global engineering headquarters in Palo Alto. The ceremony also revealed an interesting connection between the two men, with Newsom being one of the first to place a deposit for the original Tesla Roadster back in 2007. Considering it was a hefty $100,000 and only 2,450 units were built, this makes Newsom an important Tesla backer.

Fast forward to 2023, and we see Tesla taking over the former Hewlett-Packard offices in Palo Alto and establishing its worldwide engineering and AI headquarters there. This is a notable change of strategy for Tesla, which moved its headquarters from California to Texas in 2021. Musk said at the time that the move was decided because of the high housing costs in the Golden State, which limits expansion and makes labor more expensive.

At the time, Musk was also quarreling with Alameda County’s health officials over his desire to reopen the Fremont factory during the coronavirus pandemic. Then Texas had more favorable tax conditions and cheaper labor, so it’s difficult to assess which of these was more important. Musk didn’t say what prompted the decision to return to the state and set up Tesla’s engineering headquarters in Palo Alto. Some say it’s because Twitter offices are also nearby.

Tesla leased part of the former HP offices in 2021, and we’ve seen many Tesla prototypes in and around the area recently, so it’s safe to assume Tesla is already using the space. According to Musk, Tesla has no intention of abandoning its corporate headquarters in Austin and is now “kind of a dual-headquartered company.”

Tesla intends to focus on hiring engineers proficient in R&D for artificial intelligence, a technology crucial in developing robotics and autonomous vehicles. The moment is ripe because other technology companies have laid off talent in the past months. At the same time, Tesla has increased its employee headcount in California every year, and it now has 47,000 people working for it in the state. This is mostly thanks to Fremont, the biggest automotive factory in North America.

The opening ceremony ended with a tour of Tesla’s new global engineering and AI headquarters, followed by a huge party. The invitations had an interesting detail, considering the date was written as “v2023.2.22,” suggesting it has some connection with an upcoming OTA software update. Tesla is currently rolling out v2023.2.12, and Tesla fans expect the 2023.2.22 version to encapsulate the FSD Beta V11.3.2 software.

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About the author: Cristian Agatie
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After his childhood dream of becoming a "tractor operator" didn't pan out, Cristian turned to journalism, first in print and later moving to online media. His top interests are electric vehicles and new energy solutions.
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