Delaware’s Democrat governor vows change in face of tech exodus

Delaware’s leadership has vowed to make changes to prevent further businesses from locating elsewhere amid reports that Meta and Dropbox are moving out of the state.
Governor Matt Meyer promised that his state would “get it right” when dealing with businesses.
Newsweek contacted the office of Meyer, as well as Meta and Dropbox, for comment via email.
Why It Matters
While Delaware has long been considered a business-friendly state due to corporate tax advantages, it is facing a wave of departures after Judge Kathaleen McCormick ruled that Tesla CEO Elon Musk’s $56-billion compensation package was excessive. The tech billionaire has since urged companies to pull out of the Democratic-led state, with Meta, Dropbox, and Tesla all indicating that they would move operations elsewhere, with Texas being touted as a possible destination.
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What To Know
Meyer, who won the gubernatorial election in 2024, said that his office was working hard to get businesses to come back to the state if they were thinking of leaving.
In an interview withBusiness Insider, the governor said that his state was still the “best location in the world” for businesses, but that “if any entity leaves Delaware, we’re going to work to win them back.”
Currently, almost two-thirds of all Fortune 500 companies are registered in Delaware, but moves from Tesla and Meta, spearheaded by Musk, have shown some of the U.S.’ largest tech companies are more than willing to relocate.
“Any company thinking about leaving, we’re actively reaching out, we’re talking to them, we’re understanding what the issues are and understanding what ways we can do better,” Meyer said.
“And for those entities that have already made the decision to leave, we’re going to continue to work hard to earn their trust and hopefully to have them come back.”
What People Are Saying
In a reaction to Meyer’s statement, Tesla CEO Elon Musk said on social media: “This is encouraging. The new governor of Delaware wants what is best for his state.”
Robert Anderson, a law professor at the University of Arkansas, posted on X, formerly Twitter: “Dropbox is also leaving Delaware. It’s happening.”
What Happens Next
Meta and Dropbox have not yet confirmed if they will depart from Delaware. The state’s leadership has said it is focused on ensuring the businesses remain.
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