CALIFORNIA LOSES ANOTHER BILLIONAIRE
Billionaire Travis Kalanick, the founder and former CEO of Uber, has said he moved to Austin, Texas, last year—potentially avoiding a proposed California “wealth tax.”
“On December 18, I moved to Texas. I don’t know what’s so specific about December 18, but let’s just say it’s prior to January,” Kalanick said on Friday in an interview with TBPN, billed as technology’s daily show, adding that he was now a “primary resident of Texas.”
Kalanick is the latest of a string of ultra-wealthy Californians who have left the state ahead of the Billionaire Tax Act, a proposed tax targeting the rich.
Why It Matters
California has the highest concentration of billionaires of any other state in the nation, with many residing in the Silicon Valley, the Bay Area and Los Angeles County. According to the latest data from Forbes, over 200 billionaires live in California out of 3,428 worldwide, holding about $2.2 trillion of wealth.
The proposed legislation, which would introduce a one-time 5 percent levy on California billionaires, could break up the Golden State’s concentration of wealth as resident billionaires scatter around the country to avoid the potential tax. Governor Gavin Newsom, who strongly opposes the proposal, has warned that an exodus of the ultra-wealthy from the state would result in a significant economic fallout for California.
What To Know
Kalanick, a native Californian, did not specify why he left his home state for Austin, though he made it clear that he did so before January 2026, a key deadline for the proposed wealth tax.
While the proposal has yet to even qualify for the November ballot, if passed, the new tax would retroactively affect any billionaire who resided in California as of January 1, 2026. So some of the state’s wealthiest residents have already fled.
The Billionaire Tax Act, backed by the Service Employees International Union–United Healthcare Workers West, would impose a one-time 5 percent tax on California residents with more than $1 billion in wealth. The tax would be due in 2027, and those affected could spread payments over five years by paying additional fees, according to the California Legislative Analyst’s Office.
Based on Forbes‘ estimates, Kalanick has a $3.6 billion fortune and under the proposal may have owed California as much as $180 million.
The former Uber CEO’s move from California to Texas follows that of other longtime residents, such as Tesla and SpaceX CEO Elon Musk and Palantir co-founder Joe Lonsdale, both of whom left for the Lone Star State in 2020. Venture capitalist David Sacks announced in December that he was opening a new satellite office in Austin.
Others—including venture capitalist Peter Thiel, Google co-founders Larry Page and Sergey Brin, and Meta mogul Mark Zuckerberg—have relocated to another state with lower taxes: Florida.
Kalanick, who resigned from Uber in 2017 amid mounting pressure over allegations that he ignored reports of sexual harassment at the company, is using his move to Texas to launch the new company Atoms. Kalanick has said Atoms will focus on industrial robotics and “gainfully employed” artificial intelligence.
What People Are Saying
Governor Gavin Newsom told The New York Times about the proposal in January: “This will be defeated—there’s no question in my mind.”
He added: “I’ll do what I have to do to protect the state.”
Billionaire Travis Kalanick told TBPN of moving to Texas: “I get a little bit FOMO on, like, these people going to Florida. I’m like, ‘Dude, why so much Florida action? Come on, homies.'”
The Service Employees International Union–United Healthcare Workers West labor union wrote on its website: “We’re calling on California’s billionaires to step up and pay a one-time, emergency 5 percent tax to prevent the collapse of California health care and help fund California public K-14 education and state food assistance programs. This would protect health care jobs and ensure working people and families can get the care they need. The tax would be paid only by Californians worth more than $1 billion—which is about 200 people who hold a combined wealth of $2 trillion.”
What Happens Next
It remains to be seen whether the proposal for the one-time tax will make it onto November’s ballot. To do so, it must receive almost 900,000 signatures.
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2026-03-17T10:53:52Z
