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Elon Musk’s Boring Co. to bid on Chicago’s high-speed rail project

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Not one to turn shy away from a city-level tunneling project, Elon Musk announced in a tweet Wednesday that The Boring Company will bid to build an express line between downtown Chicago and O’Hare International Airport.

“The Boring Company will compete to fund, build & operate a high-speed Loop connecting Chicago O’Hare Airport to downtown” said Musk, a week after the billionaire entrepreneur revealed that his tunnel-digging venture raised $300,000 in an “Initial Hat Offering”.

Musk’s bid is in response to an open call made by the Chicago Infrastructure Trust for private companies to design, build, finance, operate and maintain the O’Hare Express System.

“This project aims to provide express transportation service between O’Hare International Airport (ORD) and downtown Chicago. This RFQ represents the commencement of the procurement process for selecting the private party that will design, build, finance, operate and maintain the OES Project.” reads the description for the project.

Ironically, even before Musk acknowledged his interest in the project, Deputy Mayor Bob Rivkin hoped that the serial tech entrepreneur would respond to the open call. “The RFQ is agnostic about whether this is a surface or sub-surface system. We hope Elon Musk and either builders of hyper-loops and other innovative technologies will respond,” said Rivkin.

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The high-speed rail line doesn’t have any limitations on whether it should be a surface level transportation system or one that’s underground. According to the Chicago Sun Times, the goal for the express system is to reduce the time it takes to travel from downtown Chicago to O’Hare in 20 minutes or less, cutting travel time by half. It would also provide a cost savings to travelers who currently pay as much as $60 for travel by taxi service or $40 by Uber. Musk intends to build a high-speed Loop that’s similar to a Hyperloop, but without having the need for a depressurized tunnel system because of the shorter distance of travel.

This won’t be the first tunneling project for Musk’s boring venture. The company has been working on a 2-mile test tunnel beneath the section of land adjoining SpaceX headquarters and Tesla’s Design Center in Hawthorne, CA. The company also recently filed a permit to extend its project into nearby LAX and Los Angeles, as it plans to connect the congested Interstate 405 with U.S. Route 101.

“First route will go roughly parallel to the 405 from LAX to 101, with on/offramps every mile or so. It will work like a fast freeway, where electric skates carrying vehicles and people on pods on the main artery travel at up to 150mph, and the skates switch to side tunnels to exit and enter.” said Musk.

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SpaceX Starship Flight 10 was so successful, it’s breaking the anti-Musk narrative

That’s all the proof one could need about the undeniable success of Starship Flight 10.

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Credit: Elon Musk/X

Starship Flight 10 was a huge success for SpaceX. When both the Super Heavy booster and the Starship Upper Stage successfully landed on their designated splashdown zones, the space community was celebrating.

The largest and most powerful rocket in the world had successfully completed its tenth test flight. And this time around, there were no rapid unscheduled disassemblies during the mission.

As per SpaceX in a statement following Flight 10, “every major objective was met, providing critical data to inform designs of the next generation Starship and Super Heavy.” The private space enterprise also stated that Flight 10 provided valuable data by stressing the limits of Starship’s capabilities.

With all of Flight 10’s mission objectives met, one would think that it would be pretty easy to cover the story of Starship’s successful tenth test flight. But that’s where one would be wrong, because Elon Musk companies, whether it be Tesla or SpaceX or xAI, tend to attract negative slant from mainstream media outlets.

This was in full force with Starship Flight 10’s coverage. Take the BBC’s Facebook post about the fight test, which read “Elon Musk’s giant rocket, earmarked for use in a 2027 mission to the Moon, has had multiple catastrophic failures in previous launches.” CNN was more direct with its slant, writing “SpaceX’s troubled Starship prototype pulls off successful flight after months of explosive mishaps” on its headline. 

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While some media outlets evidently adopted a negative slant towards Starship’s Flight 10 results, several other media sources actually published surprisingly positive articles about the successful test flight. The most notable of which is arguably the New York Times, which featured a headline that read “SpaceX’s Giant Mars Rocket Completes Nearly Flawless Test Flight.” Fox News also ran with a notably positive headline that read “SpaceX succeeds at third Starship test flight attempt after multiple scrubs.”

Having covered Elon Musk-related companies for the better part of a decade now, I have learned that mainstream coverage of any of his companies tends to be sprinkled with varying degrees of negative slant. The reasons behind this may never be fully explained, but it is just the way things are. This is why, when milestones such as Starship’s Flight 10 actually happen and mainstream media coverage becomes somewhat objective, I can’t help but be amazed. 

After all, it takes one heck of a company led by one heck of a leader to force objectivity on an entity that has proven subjective over the years. And that, if any, is all the proof one could need about the undeniable success of Starship Flight 10.

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Tesla’s Elon Musk takes another shot at Waymo’s capabilities stemming from LiDAR

“LiDAR also does not work well in snow, rain or dust due to reflection scatter. That’s why Waymos stop working in any heavy precipitation.”

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Tesla CEO Elon Musk has frequently expressed his opinions on LiDAR in the past, but in recent days, the EV maker’s frontman has continued to discuss the weaknesses in the technology and why his company has relied on cameras.

He also mentioned the suite’s limits on Waymo’s capabilities.

Tesla completely abandoned using radar alongside its camera suite a few years ago, something it referred to as “Tesla Vision” at the time. For its vehicles, it has only used cameras since this transition, and Musk has never once shied away from this strategy.

Earlier this week, he discussed the reliance of LiDAR and radar by other companies:

“Lidar and radar reduce safety due to sensor contention. If lidars/radars disagree with cameras, which one wins?

This sensor ambiguity causes increased, not decreased, risk. That’s why Waymos can’t drive on highways.

We turned off radars in Teslas to increase safety. Cameras ftw.”

Elon Musk argues lidar and radar make self driving cars more dangerous

He continued with this narrative again and mentioned Waymo specifically on a second occasion.

Musk’s focus this time was on Waymo vehicles and their capabilities in adverse weather, specifically snow, rain, or even dust storms, and how LiDAR struggles to navigate in these conditions.

He said:

“LiDAR also does not work well in snow, rain or dust due to reflection scatter. That’s why Waymos stop working in any heavy precipitation. As I have said many times, there is a role for LiDAR in some circumstances and I personally oversaw the development of LiDAR for the SpaceX Dragon docking with Space Station. I am well aware of its strengths and weaknesses.”

Tesla’s approach is significantly different than most companies. Waymo, Motional, Aurora, and Zoox all use LiDAR for their self-driving programs, while Tesla continues to rely on its camera-only approach.

Musk even said that Model S and Model X utilized a Tesla-developed high-resolution radar, but it could not “compare to passive optical (cameras), so we turned it off.”

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EV tax credit rule adjustment provides short-term win, but long-term warning

There are broader implications of the credit’s new rules, which could be viewed as an “extension,” although, fundamentally, the credit could mask the true issue that many EV makers will face: generally speaking, electric cars are still too expensive.

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Credit: Tesla

The IRS adjusted the EV tax credit rule last week, which was a big win for consumers. It now allows car buyers to lock up an agreement to buy a vehicle instead of having to take delivery before the deadline of September 30.

This has tremendous advantages for both consumers and companies. For consumers, they are no longer rushed to take delivery of a car that might not be their exact pick just to qualify for the tax credit. Instead, they can build the car they want, make a marginal down payment on it, and still take delivery, even after September 30, and still get the $7,500 off.

Tesla set to win big after IRS adjusts EV tax credit rules

For carmakers, they are no longer restricted by production capacity or supply bottlenecks, and can get a vehicle to a buyer after the deadline instead of delivering bad news. The consumer just needs to commit monetarily first.

However, there are broader implications of the credit’s new rules, which could be viewed as an “extension,” although, fundamentally, the credit could mask the true issue that many EV makers will face: generally speaking, electric cars are still too expensive.

Consumer Behavior and Market Dynamics

Everyone is expecting EV makers’ Q3 sales to be slightly higher than normal, as this is the final quarter when the $7,500 EV credit will be available. Buyers are rushing to take advantage of the credit before it expires.

The urgency of car buyers to take advantage of the credit seems to be a positive in the short term. However, there are some indications that this could lead to a “boom-and-bust” cycle, and how EVs sell in subsequent quarters could be a very disappointing reality.

If EVs were at a price point where they were more affordable and people did not need $7,500 off to buy one, we would not be seeing this influx of orders. The fundamental issue with the tax credit is the fact that it is a bit of a crutch for automakers, and that crutch is about to be removed — abruptly.

Sustained incentives for EVs are something that was never going to be available under the Trump Administration. The true demand of EVs will be revealed in Q4, and likely over the first two quarters of 2026.

Policy Instability is a Barrier for Consumers…and Automakers

With the One Big Beautiful Bill that the Trump Administration rolled out, the tax credit’s sunset came abruptly.

Previously, the credit’s termination was set for 2032, but the change, which is absolutely justified in terms of the White House’s powers, sets a tough precedent moving forward: different administrations and different planning for how government funds are spent could dramatically alter plans.

For consumers, their confidence in the stability of these types of programs will be decreased. If a Democrat gets elected in 2028, will the credit return? It’s likely that the credit could become an “On for 4, Off for 4” type of arrangement, depending on the party in the White House, as well as the concentration of that party in the House and Senate.

For automakers, the long-term planning of their supply chains, including whether domestic manufacturing is prioritized and how much capital to allocate toward EVs, becomes a significant question.

If it needs volume to bring down EV prices, the absence of a credit will impact that drastically. Fewer people being able to afford EVs because of their premium prices could put companies in a very strange predicament.

Their roadmaps for their future lineups will be impacted, and they may have to go back to the drawing board for future plans.

Environmental and Economic Stakes

It is important to remember that the EV tax credit was not just a way to make cars more affordable. It was a tool to reduce emissions from passenger transportation. This is the largest source of greenhouse gases in the United States.

Ending the credit risks slowing progress toward climate goals and ceding ground to global competitors, especially China, a global tech hub that has a large population willing to embrace new tech.

Xiaomi CEO congratulates Tesla on first FSD delivery: “We have to continue learning!”

The U.S. needs a stable, long-term strategy to incentivize both consumers and manufacturers to reach climate goals. Short-term band-aids are not going to drive innovation or adoption forward.

Call to Action

To secure a thriving and equitable future for the EV industry, Congress could consider a variety of alternatives that benefit buyers who could use assistance. A tiered incentive program that prioritizes affordability and American innovation would benefit buyers who prefer an EV while making them accessible to lower and middle-income families and buyers.

Higher credits for EVs priced under $40,000 to reach these income levels would be ideal. Additionally, bonuses for vehicles and batteries that are domestically sourced would also encourage car companies to bring manufacturing to the United States, while also helping car buyers lean toward vehicles built here.

The rush to secure credits by consumers proves that incentives work. The United States should be working toward a long-lasting framework that makes EVs accessible to all, while giving the country a competitive edge to compete against powerhouses like China.

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