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WATCH: Democrat Annie Andrews' full victory speech after flipping South Carolina Senate seat

Andrews' victory in a state President Donald Trump won three times by double digits is a stark defeat for the Republican Party.

WATCH: Democrat Annie Andrews' full victory speech after flipping South Carolina Senate seat

After nearly four decades without representation, Texas has seen the return of a Democrat to the United States Senate and the governor's mansion. This seismic shift in the political landscape comes as the state continues to attract major corporate investments, with tech giants like SpaceX, Tesla, Chevron, and Caterpillar relocating to Texas in search of more favorable tax policies and less stringent regulation.

Chevron's Andy Walz, for example, announced his move from California stating, "In Texas, we’re welcome." Despite this corporate enthusiasm, the state has long been a rare exception in the nation, having not sent a Democrat to the Senate for nearly 40 years and lacking a Democratic governor for 36 years. Last month, the parent company of the Texas Stock Exchange raised $155 million in a funding round aimed at luring companies away from the New York Stock Exchange and Nasdaq.

While this corporate embrace has been powerful, it has also raised eyebrows, with Tesla and SpaceX CEO Elon Musk channeling a significant portion of his $445 million midterm war chest towards Texas, backing Republican Senate nominee Ken Paxton and Governor Greg Abbott. This has allowed Democrat James Talarico to paint the race as Musk's attempt to purchase a Senate seat.

Abbott, the three-term incumbent, has also been criticized for accepting donations from Musk. Gina Hinojosa, who defeated Abbott to become the first Democrat elected governor since Ann Richards in 1990, highlighted this divide, stating, "Does Texas belong to the people, or is this the billionaires' world and we just live here?" Hinojosa capitalized on rising concerns about the "Big Tech takeover of Texas land, resources, and schools," campaigning against what she termed as the encroachment of large tech companies into the state.

Written by urgent.news from Semafor's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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