---
title: "Digital Brands Group CEO relocates company from California to Texas"
publication: "MediaBias News"
url: "https://mediabias.news/business/digital-brands-group-ceo-relocates-company-from-california-to-texas"
api: "https://mediabias.news/api/v1/stories/digital-brands-group-ceo-relocates-company-from-california-to-texas"
markdown: "https://mediabias.news/business/digital-brands-group-ceo-relocates-company-from-california-to-texas.md"
audio: "https://mediabias.news/api/audio/digital-brands-group-ceo-relocates-company-from-california-to-texas"
category: "Business & Economy"
area: "United States"
published: "2026-08-17T15:47:00.310Z"
source_reported: "2026-08-17T14:52:09.810Z"
updated: "2026-08-17T15:47:00.310Z"
trust_score: 42
critic_score: 55
hype_score: 55
assessment_type: "coverage-and-source-reporting-analysis"
fact_check_status: "not-performed"
coverage_measured: "2026-08-17T17:45:39.536060+00:00"
---

# Digital Brands Group CEO relocates company from California to Texas

*Hil Davis cites high costs and lawsuits as reasons for moving apparel firm’s headquarters to Round Rock*

**Scores for the source reporting** (0-100, assessing the original journalism this article was written from, not this write-up): 

- Trust 42 of 100, higher is better. Two full reports name sources and figures; digests add no corroboration.
- Craft 55 of 100, higher is better. Quotes and figures present; context and rebuttal missing.
- Hype 55 of 100, lower is better. Headlines overstate migration impact; body softens claims.

Scored by MediaBias News; method at https://mediabias.news/methodology.

**The short version**

- Digital Brands Group, an apparel and e-commerce company, relocated its headquarters from Vernon, California, to Round Rock, Texas, leasing 70,000 square feet of warehouse and office space.
- CEO Hil Davis said California’s high costs, long commutes and legal burdens made operating there difficult, while Texas offered lower costs and faster permitting.
- California lost a net 17,496 tax filers in the latest IRS data, taking nearly $1.9bn in income with them.
- A proposed one-time tax of up to 5% on Californians worth over $1bn is under debate, with opponents warning it could accelerate departures.

Digital Brands Group, an apparel and e-commerce company, moved its headquarters from Vernon, California, to Round Rock, Texas, in August 2026. The company leased 70,000 square feet of warehouse and office space in Round Rock, roughly the same size as its former facility in Vernon. CEO Hil Davis said the Texas location offered lower operating costs and faster permitting.

Davis told Fox News Digital that doing business in California was difficult due to high living costs, long employee commutes and the expense of defending lawsuits. He said the Texas facility cost roughly the same as the California one but provided a more favourable business environment. The company will retain some production operations in Los Angeles.

The relocation follows California’s loss of 17,496 tax filers in the latest IRS data, who took nearly $1.9 billion in income with them. Los Angeles County recorded the largest net loss, followed by Orange, San Diego, Riverside and San Bernardino counties. Texas is projected to surpass California in population due to migration and immigration.

A proposed one-time tax of up to 5% on Californians worth more than $1 billion is under debate. Supporters say it could raise billions for public programmes, while opponents warn it could drive wealthy residents and businesses out of the state. California Governor Gavin Newsom has opposed the measure, citing risks to investment.

## What the coverage left out

No left-rated outlet ran this story. None of the right-rated digests mentioned that Digital Brands Group would retain some production operations in Los Angeles, a detail included in both the New York Ledger and Fox News reports. The cost comparison between the Texas and California facilities was omitted from all digests.

## Who covered it

Shares of the 10 covering outlets with a published leaning rating:

- Left: 0% (0)
- Centre: 10% (1)
- Right: 90% (9)

0 of 10 covering outlets carried no usable leaning rating and were excluded from those percentages. Coverage measured 2026-08-17T17:45:39.536060+00:00.

**Coverage watch:** developing. Checked 9 times; 0 checks found a material change. Most recently checked 2026-08-17T18:00:15.633Z.

## How the sides framed it

### Left

No separate framing summary.

### Centre

- The New York Ledger’s report led on Hil Davis’s statement that “doing business in the state of California sucks” and framed the relocation as part of a broader exodus of businesses and taxpayers from the state. It included the IRS data showing California’s loss of 17,496 tax filers and $1.9 billion in income, and quoted Davis on the state’s high costs and legal burdens.
- The report also covered the proposed billionaire tax, presenting both sides of the debate: supporters’ argument that it could fund public programmes and opponents’ warning that it could accelerate departures. It noted Governor Newsom’s opposition to the measure and included Davis’s view that California’s industry “centres of gravity” would keep some businesses in the state.

### Right

- All seven right-rated digests and reports led on the relocation of Digital Brands Group from California to Texas. Six of the seven digests included Davis’s quote that “doing business in the state of California sucks” and cited high costs and regulatory burdens as reasons for the move. Five digests mentioned the 70,000 square feet of leased space in Round Rock.
- Four digests highlighted California’s loss of tax filers and income, with two specifying the $1.9 billion figure. Three digests noted Texas’s projected population growth, with two stating that Texas is slated to surpass California in population. The proposed billionaire tax was mentioned in two digests, both framing it as a risk to the state’s economy.
- The Fox News report quoted Gabriela von zur Muehlen, chief policy officer for the Texas Association of Businesses, who said high-tax states like California and New York were pushing wealth and jobs toward Texas. It also included Davis’s statement that permitting for the Texas facility moved quickly, contrasting it with California’s regulatory environment.

**Provisional coverage gap:** left. The watch is not closed, so this is not yet a settled blindspot finding.

## Factuality profile of the covering outlets

These are published factuality ratings of the outlets, not a verdict on whether this story or its claims are true.

- veryLow: 1
- low: 4
- mixed: 5

## Verification scope

This page compares coverage and scores the source reporting. It is not a ClaimReview verdict on whether the underlying event or claim is true.

## Original reporting this was written from

- [TrendingPolitics](https://trendingpoliticsnews.com/prominent-company-ditches-california-for-red-state-its-too-hard-trin) — Prominent Company Ditches California For Red State: 'It's Too Hard'
- [The Gateway Pundit](https://thegatewaypundit.com/2026/08/another-company-flees-ca-red-state-doing-business) — Another Company Flees CA for Red State-“Doing business in the state of California sucks” * The Gateway Pundit * by Margaret Flavin
- [ussanews.com](https://ussanews.com/2026/08/17/digital-brand-group-relocates-headquarters-from-california-to-round-rock-texas) — Digital Brand Group relocates headquarters from California to Round Rock, Texas
- [The New York Ledger](https://thenyledger.com/politics/ceo-says-doing-business-in-state-sucks-as-company-heads-to-texas-amid-california-exodus) — CEO says doing business in state ‘sucks’ as company heads to Texas amid California exodus
- [Real Clear Politics](https://realclearpolitics.com/2026/08/17/why_texas_may_soon_have_more_people_than_california_708177.html) — Why Texas May Soon Have More People Than California
- [democraticaccent.com](https://democraticaccent.com/ceo-says-doing-business-in-state-sucks-as-company-heads-to-texas-amid-california-exodus) — CEO says doing business in state ‘sucks’ as company heads to Texas amid California exodus – Democratic Accent
- [Fox News](https://foxnews.com/politics/ceo-says-doing-business-state-sucks-company-heads-texas-amid-california-exodus) — CEO says doing business in state ‘sucks’ as company heads to Texas amid California exodus
- [Just the News](https://justthenews.com/nation/economy/another-california-company-flee-texas-amid-difficult-business-environment) — Another California company to flee to Texas amid difficult business environment
- [U-S-NEWS.COM](https://u-s-news.com/politics-texas-may-soon-have-more-people-than-california-heres-why) — POLITICS: Texas may soon have more people than California — here’s why
- [New York Post](https://nypost.com/2026/08/16/opinion/texas-may-soon-have-more-people-than-california-heres-why) — Texas may soon have more people than California — here’s why

## Questions

**Why did Digital Brands Group move from California to Texas?**

CEO Hil Davis cited California’s high operating costs, long employee commutes and the expense of defending lawsuits. He said the Texas facility offered lower costs, faster permitting and a more favourable business environment, despite leasing a similar amount of space.

**How many tax filers did California lose in the latest IRS data?**

California lost a net 17,496 tax filers, who took nearly $1.9 billion in income with them. Los Angeles County recorded the largest net loss, followed by Orange, San Diego, Riverside and San Bernardino counties.

**What is the proposed billionaire tax in California?**

A one-time tax of up to 5% on Californians worth more than $1 billion is under debate. Supporters say it could raise billions for public programmes, while opponents warn it could drive wealthy residents and businesses out of the state.

---

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