Tesla taps Texas for new factory with construction already underway

Lone star state bound

Tesla's Fremont, California, factory employs around 10,000 people and uses a fleet of robots to create the vehicles. Photo courtesy of Tesla Motors

Tesla CEO Elon Musk is putting an end to months of speculation of if the Lone Star State is to be considered for Tesla's next U.S. factory. Multiple cities including Tulsa, Oklahoma, were attempting to woo the electric car manufacturer.

But, as Musk announced this week, work is already underway on a new site in Austin. The 2,100-acre site sits near the Austin-Bergstrom International Airport. Previous reporting by numerous sources revealed that Tesla had a $5 million option to purchase the property, which has around two miles of frontage on the Colorado River. A sand and gravel mining company currently operates on the site, which is off Texas State Highway 130, just south of Harold Green Road. Google already marks the site as Tesla GigaAustin.

"Tesla is one of the most exciting and innovative companies in the world, and we are proud to welcome its team to the State of Texas," Texas Gov. Greg Abbott said in a statement. "Texas has the best workforce in the nation and we've built an economic environment that allows companies like Tesla to innovate and succeed.

"Tesla's Gigafactory Texas will keep the Texas economy the strongest in the nation and will create thousands of jobs for hard-working Texans," he continues. "I look forward to the tremendous benefits that Tesla's investment will bring to Central Texas and to the entire state."

Travis County, where the plant is located, recently approved to grant a tax break for the company that is projected to amount to $14 million in savings on property taxes over the next 10 years. The Del Valle school district, where the site is located, also approved a tax holiday for the company, granting approximately $50 million in tax rebates over the same timespan.

Tesla has promised to reinvest 10 percent of the tax rebate amount back into the community.

The company is planning to spend $1.1 billions to built a 4 to 5 million square foot factory on the site that will employ around 5,000 acres according to documents filed with Travis Country. Workers would earn an average salary of around $47,000 and have benefits and stock options. Minimum pay will be $15 per hour. The workers would not be unionized.

The factory will be company's second automotive plant in the U.S. The other is located in Fremont, California, and employed around 10,000 people.

Tesla intends to make its new Cybertruck at the facility in addition to Tesla Model Y crossovers, Model 3 sedans that are destined for delivery in the Eastern U.S. The Tesla semi truck is also slated for production at the site.

On an earnings call today, Musk said that the plant will be an "ecological paradise" and it will be open to the public.

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This article originally ran on AutomotiveMap.

Tesla plans to manufacture its new Cybertruck at the facility, along with Tesla Model Y crossovers, the Tesla semi truck, and Model 3 sedans. Photo courtesy of Tesla Motors

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Amazon's robotaxi service Zoox rolls out in 'sprawling' Houston market

On the Road

Amazon-owned robotaxi ride-hailing service Zoox is zooming into Houston in September, becoming the latest robotaxi operator jockeying for local riders.

Initially, self-driving retrofitted SUVs with safety drivers on board will serve downtown Houston, centrally located tourist hotspots, and certain residential neighborhoods. The SUVs will test Houston roads before Zoox rolls out autonomous robotaxis here, the company says.

Zoox takes Houston for a test drive

At the outset, Zoox says, a limited number of vehicles will be driven by people to gather data about Houston roads.

Zoox test drive Photo courtesy of Zoox

“This helps create a detailed picture of each street, from road geometry to traffic lights,” the company says. “Once we have mapped out an area, we will test autonomous driving capabilities. Safety and operational readiness govern the pace of our rollout.”

Zoox says its robotaxi differs from vehicles operated by other ride-hailing services.

The all-electric robotaxi “is purpose-built for autonomous ride-hailing and designed for riders from day one,” the company says. “It has no traditional driving controls and instead has carriage-style seating, sliding glass doors, and features that let the rider personalize their journey.”

To help manage the fleet, Zoox plans to open a depot in Houston for vehicle charging and maintenance, a representative says via email.

Along with Houston, Zoox is launching this month in San Diego. The ride-hailing service already operates in Austin, Dallas, Atlanta, Las Vegas, Los Angeles, Miami, Phoenix, the San Francisco Bay Area, Seattle, and Washington, D.C.

Zoox breaks into “sprawling” Houston market

Zoox describes Houston as its “most sprawling market to date.”

“Driving here means navigating complex service-road networks, unique merging scenarios, and challenging environmental conditions, including severe heat, heavy rain, and urban flooding,” the company says. “It’s a rigorous test of our technology across geography and terrain.”

Zoox will join two other autonomous ride-hailing services in Houston:

  • Waymo began rolling in Houston in February. Alphabet, the parent company of Google, owns Waymo.
  • Electric vehicle manufacturer Tesla began offering robotaxi services earlier this year.

A third Zoox competitor is arriving within the next year. A partnership comprising rideshare provider Uber, EV manufacturer Lucid, and autonomous technology company Nuro plans to launch a robotaxi service in Houston by mid-2027.

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This article originally appeared on CultureMap.com.

Houston energy giant Shell lists local headquarters for sale for $325M

On the Market

Energy giant Shell has put its U.S. headquarters in Houston’s Energy Corridor on the market and is exploring the sale of its U.S. chemical business.

Green Street News reported Shell just listed its longtime Energy Corridor campus at 150 N. Dairy Ashford Road. The asking price is $325 million, The Real Deal reported. Shell plans to lease back half of the nearly 1.5 million-square-foot Woodcreek campus for 15 years.

A sale-leaseback deal could transform the 43.6-acre campus into a multitenant hub, CoStar News reported.

“Houston is a critical hub for Shell globally and the headquarters of our U.S. businesses,” a Shell spokesperson told the Houston Business Journal. “We remain committed to Houston and are evaluating opportunities to optimize our Woodcreek campus as part of our ongoing review of workplace needs while maintaining a strong presence in the city.”

Shell occupied its first building at the West Houston campus in 1980. The company employs more than 6,000 people in Texas.

Shell is one of the highest-profile businesses occupying space in the Energy Corridor. It’s home to 67,000 workers, more than 27 million square feet of office and mixed-use space, and 3.8 million square feet of retail and restaurant space.

Shell considers $8B sale of chemical business
As the company seeks to unload its Woodcreek campus, The Financial Times reported Shell is looking into selling its U.S. chemical business. The price tag: $8 billion.

Potential buyers include Spring-based ExxonMobil and Houston-based LyondellBasell.

Shell operates four chemical plants in Texas, Louisiana and Pennsylvania, producing an array of chemicals for use in plastics, detergents and pharmaceuticals.

Shell CEO Wael Sawan said last year that the company had spent $45 billion in capital “that is underperforming for us,” split between its chemical business and renewable energy arm.

Shell also agreed to sell its solar and wind power business in India this summer. Read more here.

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This article originally appeared on EnergyCapitalHTX.com.

10+ can't-miss Houston business and innovation events for September

where to be

The energy transition and AI will be the talk of this town this month, thanks to a packed calendar of Houston events. September brings the return of Houston Energy and Climate Startup Week and some of its signature anchor events, plus AI conferences and talks exploring how the technology is impacting everything from healthcare to leadership. Here’s what not to miss and how to register. Please note: this article may be updated to add more events.


Sept. 3 — Entrepreneurship Roundtable with Open

Open Houston and the Ion present this roundtable event to bring together founders, builders, and innovators at various stages of venture development. This month's session will feature Faisal Bhutto, president and CEO of Houston-based AI and tech consulting firm Alykas.

This event is Thursday, Sept. 3, from 10-11:30 a.m. at the Ion. An optional lunch ticket is available for purchase. Register here.

Sept. 3 — AI Operator Spotlight: Houston’s Top AI Leaders Open Their Playbooks

The Houston AI Club, Allenix, the Ion District and Collide are bringing together industry leaders to share their expertise and first-hand experiences building AI companies. The event will feature a panel with Chuck Yates, co-founder of Collide, and Charles Jessup, senior manager of AI fluency at Raytheon, plus an open networking session.

This event is Thursday, Sept. 3, from 5:30-8 p.m. at the Ion. Register here.

Sept. 8 — The Technology Leadership Advantage Series – For CEOs, VCs and PE Firms

Ram Prasad, CEO of Houston-based IT consulting firm Delence, will explore the role of leadership in turning AI investments into business value during the latest installment of this series at the Ion. The event will explore why AI strategies often fail before the technology does and how companies should approach AI ownership, governance, investment and accountability.

This event is Tuesday, Sept. 8, from noon-1 p.m. at the Ion. Register here.

Sept. 14–18 — Houston Energy and Climate Startup Week

Houston Energy and Climate Startup Week returns for its third year, with panels, happy hours and pitch days focused on the energy transition. See the schedule of events here. The week will begin with a kickoff block party and open house at the Ion.

This event starts Monday, Sept. 14. The Ion District will host many of the week's events. Find more information here.

Sept. 15 — Meet the Activate Houston Cohort 2026 Fellows

Meet Activate's latest cohort, which was named this summer, and learn more about their hardtech and climate-focused solutions. Also meet founders from the organization’s 2025 cohort during Houston Energy and Climate Startup Week.

This event is Tuesday, Sept. 15, from 5-7 p.m. at the Ion. Register here.

Sept. 15 – Cypher Pilotathon and Startup Showcase

Grab coffee and take in keynotes and panels featuring leaders from Amperon, Aramco Ventures, New Climate Ventures, Syzygy Plasmonics and many others during this signature event, this year under the theme “The NEW Energy Industrial Revolution.” After lunch, hear pitches from 31 ventures during the Pilotathon. This year's event will also feature a startup showcase with interactive booths where attendees can meet founders and see demonstrations, plus an industry hub where corporates and investors can engage with emerging technologies and identify the pilots they want to move forward with.

This event is Tuesday, Sept. 15, from 9 a.m.-5 p.m. at POST Houston. Get tickets here.

Sept. 15-17 — The AI in Health Conference

Rice University's Ken Kennedy Institute will present this future-focused event, aimed at bridging the gap between artificial intelligence and real-world health outcomes. The event will feature panels with leaders from institutions and companies from around the world, plus technical talks, poster presentations and networking receptions.

This event begins Tuesday, Sept. 15 at 8 a.m. at the BRC at Rice University. Register here.

Sept. 16 — Greentown Labs Climatech Summit

Entrepreneurs, investors, corporate leaders, policymakers and philanthropists will head to Houston this month for the annual Greentown Climatetech Summit. Hear from Greentown CEO Georgina Campbell Flatter and keynote speaker Tim Latimer, CEO and co-founder of Houston geothermal unicorn Fervo Energy, plus numerous other engaging panels at the Ion. Then head to Greentown Labs for an open house and startup showcase, where attendees can meet some of the climatech incubators' members, before taking in the startup pitch competition followed by happy hour over at the Continental Club.

This event is Wednesday, Sept. 16, from 8 a.m.–9 p.m. at multiple locations. Register here.

Sept. 18 — Rice Alliance Energy Tech Venture Forum

Hear from clean energy startups from around the world at the 23rd annual Energy Tech Venture Forum. In addition to the pitches, this event will also host keynotes from Sean Maher, chief economist at Phillips 66, and Ira Ehrenpreis, founder and managing partner of DBL Partner. Panels will focus on technologies, infrastructure and commercialization strategies needed to deploy breakthrough innovations at scale. Following the event, the Rice Alliance will also name its annual “Most Promising” startup.

This event is Thursday, Sept. 17, from 7:30 a.m.-5 p.m. at Rice University’s Jones Graduate School of Business. Register here.

Sept. 23 – Houston Methodist Innovation Discussion

Houston Methodist presents its latest Innovation Discussion this month for the Houston health IT community. This month's event will feature Dr. Jordan Dale, chief medical information officer and chief health AI officer at Houston Methodist, and Ginny Torno, executive director of innovation and IT clinical, ancillary and research systems for Houston Methodist. The two will share insights into Houston Methodist’s innovation strategy and approach to scaling new ideas, plus real-world lessons on AI adoption and more.

This event is Wednesday, Sept. 23, from 5:30-7 p.m. at the Ion. Register here.

Sept. 23 — UH Energy Career Fair

Find your next job or team member at UH's energy-focused career fair. The event will feature companies from the fossil fuels, electrical power, nuclear power and renewables industries; plus nonprofits, governmental agencies and startups. And though the event is geared toward business, engineering, technology and science majors, it is open to students of all majors.

This event is Wednesday, Sept. 23, from 11 a.m.-2 p.m. at the UH Student Center. Find more information here.

Sept. 30 — First Principles Tech Talk: From Orbit to the Lunar Surface

Head to the Ion for the first-ever First Principles Tech Talk. This event will feature short talks and moderated discussions geared toward founders, engineers and operators in the commercial space industry. The inaugural event will feature Megan Ortiz and Zach Paugh from Houston-based Axiom Space.

This event is Wednesday, Sept. 30, from 5-7 p.m. at the Ion. Register here.

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