Electronics giant flees Democrat stronghold for deep red Texas… less than a year after unveiling flashy new HQ
A major tech manufacturer is leaving New Jersey for Texas after just one year operating from its swanky new headquarters in the Democratic stronghold.
Electronics giant Samsung will soon be relocating more than 1,000 employees from its 312,000-square-foot office in Englewood Cliffs to Plano.
Featuring a cafeteria, fitness center, grocery store and even an arcade, the glass-walled HQ at 700 Sylvan Avenue was supposed to become the company’s longtime home.
It is unclear which firm will occupy the space when Samsung moves out, and the company has not publicly commented on the move.
New Jersey has the highest corporate tax rate in America, at 11.5 percent, while Texas does not have this levy in the traditional sense, according to the Tax Foundation.
The Lone Star State is also one of nine states without a personal income tax, while New Jersey has rates ranging from 1.4 percent to 10.75 percent.
Samsung Electronics has been led by chairman Shin Je-Yoon since March 2024. The Daily Mail has contacted Samsung for comment on the relocation.
A growing number of US companies are packing up and heading south, leaving some of the nation’s traditional blue-state business hubs in search of lower costs and friendlier regulatory climates.
Samsung is leaving New Jersey for Texas after just one year operating from its swanky new headquarters in the East Coast state. Samsung’s New Jersey HQ is pictured above
Samsung Electronics has been led by chairman Shin Je-Yoon (pictured) since March 2024. The Daily Mail has contacted the company for comment on the relocation from New Jersey to Texas
Over the past decade, firms ranging from tech giants to financial companies have relocated headquarters or expanded operations in states such as Texas, Florida and North Carolina.
Oil giant Exxon Mobil also recently moved its corporate registration from New Jersey, aligning its legal home with its existing headquarters in Spring, Texas.
SpaceX, Tesla and Coinbase, have also recently shifted operations to the Lone Star State.
A Texas law passed last year enhanced legal protections for businesses in several ways, including reducing the threat of shareholder litigation by allowing companies to set stock ownership thresholds for lawsuits.
Exxon shareholders approved the company’s plan to redomicile in Texas just last week, after two leading proxy advisory firms advised investors to strike down the proposal.
‘The Board believes Texas legislators, judges, and juries who might make decisions that impact Exxon Mobil are generally more familiar with our business and operations,’ the company said in its proxy filing making a case for the move.
Exxon said relocating its legal registration to Texas could strengthen its position against activist shareholders and climate-related litigation
The Texas proposal passed with 71.3 percent of votes in support, according to preliminary results from the annual meeting.
Dell Technologies executives have also told its shareholders they want to move its legal home to Texas, where the computer giant was founded by Michael Dell in his University of Texas dorm room in 1984.
The company’s board has unanimously approved the plan to shift Dell’s state of incorporation from Delaware to Texas – putting its legal home in the same state as its longtime headquarters in Round Rock.
Shareholders must rubber-stamp the move later in June.
It is a symbolic victory for Texas and another warning shot for Delaware, which collects roughly $2 billion a year in corporate franchise fees and counts more than 60 percent of the S&P 500 among its incorporated companies
