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Billionaire Elon Musk says Twitter the social media company he is in the midst of rebranding as “X” will keep its headquarters in San Francisco despite the “doom loop” the city is facing as big-name businesses head for the exits.

Musk, who led a group of investors in acquiring Twitter that took the company private in a $44 billion deal last year, tweeted Saturday that the companys headquarters will remain in San Francisco despite receiving offers aimed at enticing the company to relocate.

“Many have offered rich incentives for X (fka Twitter) to move its HQ out of San Francisco. Moreover, the city is in a doom spiral with one company after another left or leaving. Therefore, they expect X will move too. We will not,” Musk explained.

“You only know who your real friends are when the chips are down. San Francisco, beautiful San Francisco, though others forsake you, we will always be your friend,” Musks tweet concluded.

San Franciscos economy has suffered from an exodus of businesses and residents in the last few years, creating a “doom loop” in which a local government enters a downward fiscal spiral as its tax base declines.

An urban doom loop involves a decline in workers present in offices in city centers, which results in businesses shrinking their office footprint and rental overhead.

The decline in demand causes real estate prices to fall, which in turn reduces property tax revenue while other sources of tax revenue, like sales tax, also take a hit due to the reduced traffic in downtown areas.

As the overall tax base declines, it becomes harder for city governments to fund public services like law enforcement as theyre forced to make trade-offs that include things like budget cuts or tax hikes to stabilize their finances both of which can drive more businesses and residents to depart if those policies have a negative effect on the economic climate or overall quality of life.

The growing popularity of remote work has accelerated that trend, decreasing the number of workers heading to the office on a daily basis as it becomes easier than ever for workers to live in suburban and rural areas without commuting.

The tech-heavy economy of San Francisco and criticisms of the city governments record on public safety issues have made it a case study in the dynamics that drive urban doom loops.

According to data from the Census Bureau, the population of San Francisco County declined by 7.5% from April 1, 2020, to July 1, 2022.

Commercial real estate firm CBRE released data in early July that showed that San Francisco had an overall office vacancy rate of 31.6% in the second quarter of 2023.

The CBRE report noted that in the last quarter “negative net absorption accelerated due to slow leasing activity, combined with a high volume of lease expirations and several new sublease listings.

This resulted in 1.83 million sq. ft. of occupancy loss, which increased the market-wide vacancy rate from 29.4% to 31.6%.”

Although Twitter isnt relocating its headquarters, the company has sought to shrink its office footprint in San Francisco and faced a lawsuit from its landlord earlier this year over unpaid rent  although the social media company has faced similar suits at offices in Denver, Oakland and London since Musk acquired Twitter and began a broad cost-cutting push to stabilize its finances.

Amid Twitters rebrand to X, city officials filed a complaint and opened an investigation into whether the company had the proper permits to install an illuminated “X” atop its downtown headquarters.

Police had stopped the installation last week but later said there was a “misunderstanding” and that the incident was not a police matter.

City officials say a permit is required to change letters or signs on buildings or to erect a new sign on top of a building.

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Musk launches SpaceX’s Starlink internet services in Indonesia, says more investments could come

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Musk launches SpaceX’s Starlink internet services in Indonesia, says more investments could come

Tech billionaire Elon Musk (2nd L) speaks next to Indonesia’s Health Minister Budi Gunadi Sadikin (L) during a ceremony held to inaugurate satellite unit Starlink at a community health center in Denpasar on Indonesia’s resort island of Bali on May 19, 2024. Musk launched on May 19 his Starlink service on Indonesia’s resort island of Bali as the country aims to extend internet to its remote areas. Millions of people in Indonesia, a vast archipelago of more than 17,000 islands, are not currently hooked up to reliable internet services. (Photo by SONNY TUMBELAKA / AFP) (Photo by SONNY TUMBELAKA/AFP via Getty Images)

Sonny Tumbelaka | Afp | Getty Images

Elon Musk has launched SpaceX’s Starlink satellite internet services in Indonesia as the Southeast Asian nation seeks to boost internet connectivity in remote areas.

The inauguration took place at a community health center in Bali on Sunday, with the SpaceX founder telling local media he was “very excited” to bring internet services to areas with limited or no connectivity and that internet connectivity can be “a life-saver to remote medical clinics.”

“It is really important to emphasize the importance of internet connectivity and how much of a life-changer and a life-saver it can be,” Musk told local media on Sunday.

SpaceX, which manufactures and launches advanced rockets and spacecraft, is also a developer of Starlink satellites which provide internet connectivity to remote locations. Starlink is already available in Southeast Asia in Malaysia and the Philippines.

Indonesia, the world’s largest archipelago with more than 17,000 islands, faces an urban-rural connectivity divide where millions of people living in rural areas have limited or no access to internet services.

Communication and Informatics Minister Budi Arie Setiadi previously said Starlink would help Indonesia extend internet access to regions not covered by local internet providers, according to Indonesian news agency Antara.

Elon Musk meets with China's Premier Li Qiang to discuss Tesla, full-self driving and restrictions

The minister also tried to dispel concerns that Starlink’s entry would hurt local internet providers.

“When you have access to the internet, you can learn anything,” said Musk, who is also the CEO of electric carmaker Tesla. “But if you don’t have internet connectivity, it is very difficult to learn.”

“And if you have goods and services you wish to sell to the world, and even if you are in a remote village, you can now do so with internet connection. So you can bring a lot of prosperity to [remote] communities,” said Musk.

When asked about whether he has plans to invest in Indonesia’s electric vehicle sector as well, Musk said he was focused on Starlink first.

“It’s very likely that my companies will invest in Indonesia,” said Musk.

Indonesia minister Luhut Pandjaitan said Musk is considering to set up an EV battery plant in the country, after the tech leader met with President Joko Widodo on Monday, according to Reuters.

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Iranian President Ebrahim Raisi confirmed dead in helicopter crash after charred wreckage found

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Iranian President Ebrahim Raisi confirmed dead in helicopter crash after charred wreckage found

Iranian President Ebrahim Raisi has died after the helicopter he was travelling in crashed in a mountainous area of northwest Iran.

Rescuers found the burned remains of the aircraft on Monday morning after the president and his foreign minister had been missing for more than 12 hours.

President Raisi, the foreign minister and all the passengers in the helicopter were killed in the crash,” a senior Iranian official told Reuters, asking not to be named.

Live updates – Iranian president killed in crash

Iran‘s Mehr news agency reported “all passengers of the helicopter carrying the Iranian president and foreign minister were martyred”.

State TV said images showed it had smashed into a mountain peak, although there was no official word on the cause of the crash.

“President Raisi’s helicopter was completely burned in the crash… unfortunately, all passengers are feared dead,” an official told Reuters.

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President of Iran killed in crash

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The crash happened in Iran’s East Azerbaijan province

As the sun rose, rescuers saw the wreckage from around 1.25 miles, the head of the Iranian Red Crescent Society, Pir Hossein Kolivand, told state media.

Iranian news agency IRNA said the president was flying in an American-made Bell 212 helicopter.

Read more:
Who is Iranian President Ebrahim Raisi?
Many will be fearing instability after ‘butcher of Tehran’ killed

Iranian TV showed the president on board the helicopter
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Iranian TV showed the president on the helicopter during a trip to Azerbaijan

TV picture showed thick fog at the search site. Pic: IRNA
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TV pictures from Sunday showed thick fog at the search site. Pic: IRNA

Mr Raisi, 63, who was seen as a frontrunner to succeed Ayatollah Ali Khamenei as Iran’s supreme leader, was travelling back from Azerbaijan where he had opened a dam with the country’s president.

Iran’s foreign minister, Hossein Amirabdollahian, also died in the crash.

The governor of East Azerbaijan province and other officials and bodyguards were also said to have been on board when the helicopter crashed in fog on Sunday.

Iranian media initially described it as a “hard landing”.

The chief of staff of Iran’s army had ordered all military resources and the Revolutionary Guard to be deployed in the search, which had been hampered by bad weather.

India’s Prime Minister Narendra Modi was among the first to react to the news of Mr Raisi’s death.

“India stands with Iran in this time of sorrow,” he said in a post on X.

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Ebrahim Raisi: Who is hardliner Iranian president?

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Ebrahim Raisi: Who is hardliner Iranian president?

A helicopter carrying Iran’s president crashed during bad weather on Sunday.

But who is Ebrahim Raisi – a leader who faces sanctions from the US and other nations over his involvement in the mass execution of prisoners in 1988.

The president, 63, who was travelling alongside the foreign minister and two other key Iranian figures when their helicopter crashed, had been travelling across the far northwest of Iran following a visit to Azerbaijan.

Follow live: Rescuers search for president after helicopter crash

Mr Raisi is a hardliner and former head of the judiciary who some have suggested could one day replace Supreme Leader Ayatollah Ali Khamenei.

Because of his part in the sentencing of thousands of prisoners of conscience to death back in the 1980s, he was nicknamed the Butcher of Tehran as he sat on the so-called Death Panel, for which he was then sanctioned by the US.

Raisi and Azerbaijan's President Ilham Aliyev on Sunday. Pic: Reuters
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Raisi and Azerbaijan’s President Ilham Aliyev on Sunday. Pic: Reuters

Both a revered and a controversial figure, Mr Raisi supported the country’s security services as they cracked down on all dissent, including in the aftermath of the 2022 death of Mahsa Amini – the woman who died after she was arrested for allegedly not wearing her hijab properly – and the nationwide protests that followed.

More on Iran

The months-long security crackdown killed more than 500 people and saw over 22,000 detained.

People light a fire during a protest over the death of Mahsa Amini in Tehran, 2022. Pic: Reuters
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People light a fire during a protest over the death of Mahsa Amini in Tehran, 2022. Pic: Reuters

In March, a United Nations investigative panel found that Iran was responsible for the “physical violence” that led to Ms Amini’s death after her arrest for not wearing a hijab, or headscarf, to the liking of authorities.

The president is seen as a frontrunner to replace Iran's Supreme Leader Ayatollah Ali Khamenei (pictured) when he dies. Pic: Reuters
Image:
The president is seen as a frontrunner to replace Iran’s Supreme Leader Ayatollah Ali Khamenei (pictured). Pic: Reuters

The president also supported Iran’s unprecedented decision in April to launch a drone and missile attack on Israel amid its war with Hamas, the ruling militant group in Gaza responsible for the 7 October attacks which saw 1,200 people killed in southern Israel.

Involvement in mass executions

Mr Raisi is sanctioned by the US in part over his involvement in the mass execution of thousands of political prisoners in 1988 at the end of the bloody Iran-Iraq war.

Under the president, Iran now enriches uranium at nearly weapons-grade levels and hampers international inspections.

Iran has armed Russia in its war on Ukraine and has continued arming proxy groups in the Middle East, such as Yemen’s Houthi rebels and Lebanon’s Hezbollah.

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He successfully ran for the presidency back in August 2021 in a vote that got the lowest turnout in the Islamic Republic’s history as all of his potentially prominent opponents were barred from running under Iran’s vetting system.

A presidency run in 2017 saw him lose to Hassan Rouhani, the relatively moderate cleric who as president reached Tehran’s 2015 nuclear deal with world powers.

‘Very involved in anything’

Alistair Bunkall, Sky News’s Middle East correspondent, said the president is “a major figure in Iranian political and religious society” but “he’s not universally popular by any means” as his administration has seen a series of protests in the past few years against his and the government’s “hardline attitude”.

Mr Raisi is nonetheless “considered one of the two frontrunners to potentially take over” the Iranian regime when the current supreme leader dies, Bunkall said.

He added the president would have been “instrumental” in many of Iran’s activities in the region as he “would’ve been very involved in anything particularly what has been happening in Israel and the surrounding areas like Lebanon and Gaza and the Houthis over the last seven and a bit months”.

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