Elon Musk Closes Neuralink Operations in Delaware, Shifts Business to Nevada
Tesla and SpaceX CEO Elon Musk has moved his company Neuralink’s headquarters, which works on brain-machine interface technology, to Nevada, nearly 4,100 kilometers away from its previous location. Musk made this decision in response to dissatisfaction with his pay at Tesla and concerns related to Twitter’s purchase.
Following Neuralink’s move, Musk has also announced plans to transfer power in a similar way from Tesla’s delivery. According to a notice shared with shareholders, Musk shifted Neuralink’s office on February 8th. Bloomberg provided this information.
No effect on shareholders
According to the notice, the company’s shareholders have been informed that their shares in Delivery Corporation will now be transferred to Nevada Corporation. Therefore, the company’s shares or holdings will not be affected.
Court dismissed the $50 billion package plan
Last month, on January 30th, the Delivery Court of Chancery dismissed Elon Musk’s $50 billion package plan, considering it an “excessive amount,” and ordered him to return the increased pay received since 2018.
Musk sought public opinion to shift companies
After the court’s decision, Elon Musk posted several posts one after another on his Twitter handle. In one post, he wrote, “Never create your company in a delivery state.” In another post, Musk asked people through a poll whether Tesla should change its main headquarters to Texas, where its primary focus lies.
Why Delaware is Special?
Delaware holds a significant position for many companies in America. More than 70% of the Fortune 500 companies are registered here. This is because the Delaware court operates efficiently.
The judges here understand business-related laws well. They handle major business deals and disputes without a jury. Companies from other countries also turn to Delaware to resolve their business issues. Delaware is also referred to as the corporate capital of America.
Tesla CEO Elon Musk’s $50 billion (approximately ₹4.15 lakh crore) package has been rejected by the Delaware Court of Chancery. The judge of the court canceled Musk’s package contract and stated that the company should decide how to repay Musk’s increased pay received until now.
Tesla’s owner Elon Musk’s startup Neuralink implants a chip surgically into the human brain. This device is of small size and will establish a direct communication channel between the human brain and computers.
