Manage episode 283777197 series 2530089
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Technology company Hewlett Packard Enterprise (HPE) is set to relocate its headquarters from San Jose, California, to Houston, Texas, by 2022. In a statement, the company said that it chose to move to Houston due to the city’s diverse talents. Relocating to Texas will also save the company money because the cost of real estate and talent acquisition there is more affordable and less competitive compared to California. HPE added that it will still keep its San Jose office, where some of its San Francisco Bay area sites will be consolidated. According to the company, the move will not result in any employee layoffs. HPE’s relocation from California is notable because the company was one of the founders of Silicon Valley, the world's major technology and startup hub. It is home to around 2,000 tech companies, many of which are industry leaders. Before it became HPE, the company was first known as Hewlett-Packard (HP). It was founded by business partners William Hewlett and Dave Packard in 1939. HP created its first product, a device used to test audio equipment, in the same year. In 2015, HP split into HP Inc., which manufactures printers, laptops, and personal computers, and HPE. While HPE is the most notable company to move its headquarters from Silicon Valley, it is far from the only one. Data analytics software firm Palantir Technologies and cybersecurity firm Tanium have also left the area. Many companies have explained that the switch to remote work led them to move to states with lower costs of living, as employees are no longer required to go to their offices.