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Elon Musk’s Boring Company proposes tunnel system leading to LA Dodgers Stadium
The Boring Company has unveiled a proposal to build a 3.6-mile tunnel system under Los Angeles designed to transport commuters to the Dodgers Stadium. Dubbed as the “Dugout Loop,” the tunneling startup’s project aims to transport people to the stadium in under 4 minutes.
The LA Dodgers Stadium is one of the city’s most prominent landmarks, where events such as games and concerts are held. The stadium in itself is massive, with a seating capacity of 56,000. Unfortunately for Los Angeles residents, getting to the Dodgers Stadium is nothing short of a traffic-inducing nightmare. During peak season, it is not rare to see vehicles being backed up for miles in seemingly unmoving traffic. This makes the travel time to the stadium, especially for commuters with their own cars, an unnecessarily long and aggravating affair.
This makes the LA Dugout Loop the perfect project for the Boring Company, a tunneling startup conceived by SpaceX and Tesla CEO Elon Musk due to his experiences in traffic. The Boring Company is currently involved in several projects, the most prominent of which is the downtown Chicago-O’Hare high-speed transport system, which is expected to break ground as soon as its permits are completed. A test tunnel under SpaceX’s headquarters in Hawthorne is also nearing completion.
The 3.6-mile Dugout Loop will begin at the Dodger Stadium property and run under Vin Scully Avenue and Sunset Boulevard. The Boring Company has not announced the starting point of the tunnel system, but there are currently three options being explored. All of these options — Vermont/Sunset, Vermont/Santa Monica or Vermont/Beverly — are selected specifically to be close to Metro Red Line stations.
The Los Angeles Bureau of Engineering (LABOE) has posted a document covering some of the finer details of Boring Company’s proposed project, including the design of the tunnels, how the electric pods in the Loop system will work, and the accessibility of the tunnels themselves. The document, which could be viewed in full here, notes that the Boring Company plans to use access shafts that would serve as tunnel access points for ventilation, emergency exit, and general access. These would be spaced approximately 0.5 miles apart, totaling about three to six locations located along the proposed Main Artery Tunnel alignment.
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- The Boring Company’s eastern terminus configuration for the Dugout Loop. [Credit: The Boring Company]
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- The Boring Company’s western terminus configuration for the Dugout Loop. [Credit: The Boring Company]
The transport pods would be stored in parking spaces, parking garages, or car racks at Loop Lift locations. Lastly, the LABOE document also mentioned that initially, commuters who wish to use the Dugout Loop would book timeslots online or on the phone in advance. Initial operations of the tunnel system would be limited to around 1,400 people, but depending on community feedback, the tunneling startup could increase ridership to about 2,800 people per event. The ability to purchase tickets for the Dugout Loop onsite is also on the table.
The Boring Company’s proposed tunnel to the Dodgers Stadium has gained the support of some of the city’s officials. In a statement to WIRED, LA Mayor Eric Garcetti described the project as a good example of the private and public sector working together.
“It’s a great example of public-private partnership. We always reimagine the future in Los Angeles. We’ve always looked for new ways to move around,” the LA mayor said.
Always exciting to see innovative ideas like the proposed Dugout Loop to @Dodgers Stadium that could help ease congestion on our roads and make our most iconic destinations more accessible to everyone. https://t.co/vleQtpUqnt
— Mayor Karen Bass (@MayorOfLA) August 16, 2018
Dodgers CFO Tucker Kain also expressed his support for the project, stating that the team is always supportive of novel ways to get fans to games in a more comfortable manner.
“We were excited when the Boring Company came to us with this project. Whether it is flying overhead in an aerial transit system or bypassing traffic through an underground tunnel, we are always looking for innovative ways to make it easier for Dodgers fans to get to a game. We are committed to working with our neighbors and fans as the project moves forward,” Kain said in a statement to ABC7.
Construction of the proposed tunnel project is estimated to take about 14 months to complete. The tunneling startup is making its proposal for the Dugout Loop available for public review from August 16 to September 17. A hearing will also be held at the Dodgers Stadium on August 28.
Elon Musk has firmly denied recent media reports suggesting that SpaceX has reduced its target valuation for an upcoming initial public offering.
The denial came directly from the SpaceX and Tesla frontman on his social media platform X, where he responded with a single word, “False,” to a post from ZeroHedge that cited Bloomberg sources.
This swift rebuttal underscores Musk’s ongoing effort to manage speculation surrounding one of the most anticipated market debuts in recent history.
False
— Elon Musk (@elonmusk) May 29, 2026
According to the disputed reports, SpaceX had lowered its IPO valuation goal to at least $1.8 trillion from previous ambitions exceeding $2 trillion.
The claims emerged amid growing anticipation for the company’s confidential S-1 filing, which positions it for a potential public listing as early as June.
Some had pointed to strong revenue growth, particularly from the Starlink satellite internet service, which contributed heavily to the firm’s 2025 figures of $18.7 billion. Yet challenges persist in other areas, including substantial investments and losses tied to ambitious projects like Starship development and artificial intelligence initiatives, which plan to make life multiplanetary eventually.
Musk’s response highlights a pattern in which he actively counters what he views as inaccurate portrayals of his companies’ trajectories.
SpaceX, already valued privately at extraordinary levels, stands as a cornerstone of Musk’s empire alongside Tesla and xAI. The entrepreneur has long emphasized the transformative potential of reusable rockets and global broadband access, factors that fuel investor enthusiasm despite operational hurdles.
By rejecting the valuation downgrade narrative, Musk signals confidence in SpaceX’s fundamentals and its readiness for public markets on terms favorable to its long-term vision. People have been waiting a very long time to invest in SpaceX, and the valuation, as well as the introductory share price, is not going to need adjusting.
They’ll have plenty of suitors.
This episode reflects broader dynamics in the technology sector, where rumors often swirl around high-profile entities. Musk’s direct engagement with media narratives serves to maintain transparency and control the narrative around his ventures.
As SpaceX prepares for greater scrutiny in public markets, the founder’s denial reinforces optimism about its prospects. Supporters argue that the company’s innovative edge positions it for enduring success, far beyond short-term valuation debates. With the denial now public, attention turns to forthcoming regulatory filings that could provide clearer insights into SpaceX’s strategy and financial health.
The coming weeks promise to reveal more about how SpaceX will transition into a publicly traded powerhouse.
Tesla’s dreams of operating a fully autonomous ride-hailing platform just took a massive step toward reality, as two separate events have indicated the company is perhaps closer than ever to achieving self-driving as a product.
On Thursday, Tesla was granted authorization by the State of Texas to operate driverless vehicles in a commercial manner. On May 28, Senate Bill 2807, passed by the 89th Texas Legislature, took effect after being passed back on September 1, 2025.
The bill establishes a statewide regulatory framework requiring authorization from the Texas Department of Motor Vehicles for companies to operate automated vehicles commercially on Texas roads.
This covers driverless, or SAE Level 4+, operations for passenger transport, meaning Robotaxi, or freight.
Tesla and other companies can self-certify their vehicles and tech as long as they:
- Operate in compliance with Texas traffic laws
- Maintain proper registration, title, and insurance
- Use compliant automated driving systems
- Record onboard activity and handle system failures and glitches safely.
The new authorization, which was first reported by James Stephenson on X, allows companies to utilize their own processes to determine if their vehicles are ready to operate without drivers.
🚨BREAKING:
Tesla has been authorized by the State of Texas to operate driverless vehicles commercially under the new law that took effect today, May 28th, 2026. Tesla has officially self-certified the software running on its robotaxis as Level 4. $TSLA pic.twitter.com/KSJdsvlaW5— James Stephenson (@ICannot_Enough) May 28, 2026
It is a rule that expedites the entire approval process, keeping agencies out of a usually long, lengthy, and frustrating task that is essential to technological advancements. It essentially means Tesla can launch commercial Robotaxi operations at this point.
On the very same day, Tesla continued the momentum as CEO Elon Musk shared a video of Cybercab units autonomously driving off the property at Gigafactory Texas. This is a major step in the story of the Cybercab.
Mass production of the Cybercab started at Giga Texas in April, and it is already heading out of the factory on its own.
Cybercab driving itself out of the GigaTexas factory pic.twitter.com/EwAMVVDjYy
— Elon Musk (@elonmusk) May 28, 2026
These two major events mark a drastic step forward in Tesla’s progress toward Cybercab and the permissions it needs to operate a self-driving ride-hailing service. Tesla is now able to operate autonomously under Texas law by self-certifying, and with the potentially imminent rollout of Cybercab, Tesla’s autonomous dreams are starting to take serious shape.
Elon Musk
The Tesla and SpaceX merger everyone is talking about is quietly building
Tesla and SpaceX may be closer to merging than Wall Street or either company is admitting.
Elon Musk has reportedly discussed merging Tesla and SpaceX with people close to him, according to CNBC, which cited sources familiar with the conversation. Tesla employees have long expected such a transaction and the topic is openly discussed internally, according to internal sources. With SpaceX is days away from kicking off its Wall Street roadshow for what could be the largest IPO in market history, this would be the first time the company will have public market currency to execute a stock-for-stock deal with Tesla.
The financial logic for a merger would make sense. A combined SpaceX and Tesla would create a conglomerate spanning rockets, satellites, electric vehicles, AI infrastructure, and energy storage valued at roughly $3.35 trillion to $3.6 trillion based on SpaceX’s IPO target range and Tesla’s current market capitalization. The two companies are already more intertwined than most people realize. SpaceX bought $697 million worth of Tesla Megapack systems for xAI data centers and $131 million worth of Cybertrucks. Tesla invested $2 billion in xAI, which subsequently merged with SpaceX. Past transactions also include Tesla selling solar equipment and parts to SpaceX, and SpaceX helping with Cybertruck materials.
Will Tesla join the fold? Predicting a triple merger with SpaceX and xAI
Musk himself signaled where this was heading in November 2025 when he posted on X, “My companies are, surprisingly in some ways, trending towards convergence.” Tesla and SpaceX announced a joint semiconductor fabrication facility in Austin called Terafab on the Gigafactory Texas campus, covering two advanced chip factories, with one serving Tesla’s AI needs for vehicles and Optimus robots, the other targeting space-based data centers under SpaceX’s infrastructure vision.
Wedbush analyst Dan Ives places the probability of a merger at 80% to 90% with a target completion in the first half of 2027. The mechanics of a deal became possible the moment SpaceX filed its S-1. Legal experts said a merger likely would not spark antitrust issues but would raise concerns among shareholders in each company, with questions around which company would be the parent, how a stock swap would take place, and who determines the appropriate price. Musk holds about 20% of Tesla’s equity but controls 85.1% of SpaceX’s voting power through a super-voting share class, meaning he would largely be negotiating the terms with himself.
Not everyone is convinced the timing is imminent. Traders on Kalshi place only 33% odds that a merger will happen before May 2027. The more immediate concern for Tesla shareholders is whether the SpaceX IPO pulls capital and Musk’s attention away from Tesla before any merger consolidates the upside for both.
What is clear is that the structural groundwork is already being laid. The Terafab announcement, the xAI merger, the shared supply chain, the cross-company balance sheet transactions, and now the IPO all point in the same direction. Whether the merger follows in 2027 or later, the two companies are already operating more like divisions of a single entity than independent competitors.
Elon Musk strikes down reports on SpaceX IPO rumors
Tesla’s Robotaxi dreams just took a massive step toward reality
