California is witnessing a notable exodus of its affluent residents, as another Silicon Valley billionaire departs the state amid concerns over a looming tax targeting the ultra-wealthy.
Sergey Brin, the 52-year-old co-founder of Google, has recently relocated a substantial number of his business holdings away from California, timing the move just before the Christmas holiday.
Among his enterprises, 15 limited liability companies once rooted in California have now shifted, as reported by The New York Times. These companies are integral to Brin’s diverse business ventures and investment portfolio.
In a strategic relocation, seven of these companies have been re-registered in Nevada. This includes those managing a super-yacht and a stake in a private terminal at San Jose International Airport.
Additionally, another company linked to Brin made the move to Nevada on Christmas Eve, further signaling a significant shift in his business operations.
With a net worth of $248.2 billion, Sergey Brin ranks as the fourth wealthiest person globally, as noted by Forbes.
He still owns multiple homes in California, according to the Times, but how much time he will spend in the state this year is unknown.
Seven of Brin’s limited liability companies previously based in California were recently re-registered in Nevada
Pictured: Menlo Park suburb looking out to Palo Alto in Silicon Valley
Brin’s move away from California comes after his Google co-founder Larry Page also cut ties with the state late last year.
Page transferred most of his business holdings to Delaware, according to Business Insider. He also incorporated some of his ventures in Florida.
Brin is thinking about buying a home in Miami, the Wall Street Journal reported.
Both men founded Google – based in Mountain View, about 45 miles north of San Francisco – in 1998 after meeting at Stanford while studying computer science.
They stepped down from Alphabet Inc, Google’s parent company, in 2019.
The cofounders’ decision to flee the west coast comes as a proposed billionaires’ tax that would target California residents worth more than $1billion looms on the horizon.
The proposal would hit billionaires in the state with a one-time tax worth five percent of their net worth.
It would apply to assets such as stocks, bonds, artwork and intellectual property – not income.
Brin (right) started Google with Larry Page (left) in 1998. They both stepped down from their roles at Alphabet, Google’s parent company, in 2019
Page transferred most of his business holdings to Delaware and Florida late last year over California’s proposed billionaires’ tax
Billionaires in California would have five years to pay, but the proposal has not been signed into law yet.
The measure, which was proposed by the Service Employees International Union-United Healthcare Workers West union, first has to gain enough signatures to land on the November ballot.
After that, it has to win voter approval. If that happens, the new tax would retroactively apply as of January 1, 2026. California currently has about 200 billionaires.
It remains uncertain if the ballot measure will actually be enacted, but others besides Brin and Page have already made moves in relation to the tax proposal.
Peter Thiel, who is worth about $25.9billion, announced on December 31 that his private investment firm had opened a Miami office to ‘complement [its] existing operations’ in Los Angeles.
Tech investor David Sacks also relocated his office to Austin, Texas, in a move announced that same day.
Sacks predicted on social media that Silicon Valley would soon be on its way out.
‘As a response to socialism, Miami will replace NYC as the finance capital and Austin will replace SF as the tech capital,’ he wrote on X.
California Gov. Gavin Newsom, a Democrat, has voiced his opposition to the proposed billionaires’ tax
Silicon Valley venture capital investor Chamath Palihapitiya, valued at about $1.2billion, called Brin’s departure a ‘complete and total unforced error.’
‘I would not be surprised if 2026 ended with less than $1T of billionaire wealth in California and decades and hundreds of lawsuits,’ he said on X.
Palihapitiya added: ‘If they don’t kill this ballot initiative and entice those folks to come back, the California budget will be massively upside down.’
He said the only place to ‘get the money’ was to either ‘cut waste, fraud and abuse’ or to increase taxes on the middle class.
California Gov. Gavin Newsom has voiced his opposition to the proposed billionaires’ tax.
‘You can’t isolate yourself from the 49 others,’ he said in December. ‘We’re in a competitive environment. People have this simple luxury, particularly people of that status. They already have two or three homes outside the state.’
Newsom added: ‘It’s a simple issue. You’ve got to be pragmatic about it.’
