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Elon Musk shares first look at Tesla Model X zipping through a Boring Company tunnel

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After winning the coveted contract to build Chicago’s high-speed transit tunnel, the Boring Company held a press conference at the city’s Block 37 Superstation to formally announce the tunneling startup’s high-profile project. Dubbed by Mayor Rahm Emanuel as the “X,” the high-speed tunnel system is designed to link downtown Chicago to O’Hare Airport.

Prior to the press conference, The Boring Company shared a video of a Tesla Model X being carried by “electric skates” through a tunnel on Twitter. While incredibly brief, the short clip gives an idea of the speed that Chicago commuters can expect from the tunneling startup’s transportation system.

Tesla and SpaceX CEO Elon Musk made an appearance at Block 37 Superstation, sharing the stage with the city mayor. As noted by Chicago Tribune reporter Bill Ruthart on Twitter, Emanuel was very optimistic about the Boring Company’s project, stating that the  high-speed tunnels would “not cost the city a penny” and that it builds on Chicago’s “legacy of innovation.” Emanuel noted that part of the reason behind the city’s decision to select the Boring Co. was Musk’s record and vision.

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“We’re taking a bet on a guy who doesn’t like to fail — and his resources.  There are a bunch of Teslas on the road. He put SpaceX together. He’s proven something. The risk — with no financial risk — is I’m betting on a guy who has proven in space, auto and now, a tunnel, that he can innovate and create something of the future,” the Chicago Mayor said.

Addressing Chicago’s press, Elon Musk expressed his thanks at the city and Mayor Emanuel for placing his faith in the Boring Co. Musk noted that he hopes to start digging in as soon as four months. Digging shall commence from both Loop and O’Hare ends. When asked about the high-speed tunnels’ funding, Musk noted that he is confident he can raise the estimated ~$1 billion for the project, considering that he has already raised $22 billion among all of his companies. The serial tech entrepreneur also noted that the downtown Chicago-O’Hare tunnel is “quite economically appealing.” Lastly, Musk announced that The Boring Company would tap both union and non-union workers for manpower.

The city of Chicago formally announces The Boring Company’s downtown-O’Hare tunneling project. [Credit: The Boring Company]

The Boring Company’s high-speed Chicago tunnel system is expected to accommodate almost 2,000 passengers per direction every hour, with pods leaving every 30 seconds to 2 minutes. Cost for the high-speed rail is estimated to be between $20-$25 per person, roughly half the price of a typical ride-share or cab. The trip is expected to last only 12 minutes with pods traveling more than 100 mph. The upcoming project’s preliminary route will be Block 37, Randolph St. west, under the Kennedy north, north under Halsted, northwest under Milwaukee, northwest under Elston before again crossing under the Kennedy near Bryn Mawr Avenue and heading west to O’Hare, according to people familiar with the matter.

The Boring Company and the Chicago mayor have noted that it is far too early to provide a concrete timeline for the completion of the high-speed tunnel system. Apart from handling the costs of the project, The Boring Company will also construct a new station at O’Hare and help in the completion of the Block 37 Superstation. Overall, the ~$1 billion tunnel is part of Chicago’s $8.5 billion overhaul of O’Hare Airport.

The Boring Company’s contract with Chicago stands as the tunneling startup’s first high-profile project. So far, the Boring Co. has only embarked on smaller-scale test projects in Los Angeles, as well as a tunnel beneath SpaceX in Hawthorne, CA, which will offer free demo rides to the public upon regulatory approval.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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SpaceX’s newest logo confirms everything about what it’s become

SpaceX officially absorbed xAI under the SpaceXAI brand, completing the largest private merger in history.

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SpaceX made its corporate transformation official in May 2026 when Elon Musk posted on X that xAI would cease to exist as a standalone company. “xAI will be dissolved as a separate company, so it will just be SpaceXAI, the AI products from SpaceX,” he wrote.

A new SpaceXAI logo was announced today, visually embedding the xAI letters inside the SpaceX identity, which can be seen as a deliberate design choice that signals the merger is not a partnership but a full absorption and XAi a core function of the same company. The same way Starlink is not a separate brand but a SpaceX product. The announcement closed the loop on a process that began February 2, 2026, when SpaceX acquired xAI in the largest private merger in history, valued at $1.25 trillion. SpaceX at $1 trillion and xAI at $250 billion.


The reason SpaceX bought xAI was stated plainly by Musk at the time of the deal: to build orbital data centers. SpaceX had simultaneously filed with the FCC to launch up to one million satellites designed to function as AI compute nodes in low Earth orbit, escaping what Musk described as the energy constraints limiting AI development on Earth.

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xAI provided the AI software stack, with Grok, the X platform, and the Colossus supercomputer infrastructure in Memphis with over 220,000 NVIDIA GPUs, while SpaceX provided the rockets, Starlink, and the capital base to fund it. The two companies needed each other. xAI was burning $2.5 billion in losses on $250 million in revenue. SpaceX was generating an estimated $8 billion in profit on $15 billion in revenue and needed an AI narrative to command the valuation it was targeting for its IPO.

SpaceXAI just launched into your kitchen with their new app

What SpaceX has done, regardless of how the orbital AI vision ultimately plays out, is walk into a public market as something no company has been before: a rocket manufacturer, satellite internet provider, AI software company, social media platform, and supercomputer operator under one ticker. Whether that combination is worth $2 trillion depends entirely on which of those businesses you believe in most.

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Tesla flexes how it will help the blind with Cybercab

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Credit: Tesla

Tesla brought its innovative Cybercab robotaxi to the National Federation of the Blind (NFB) Annual Convention in Austin, Texas, on July 3 at the JW Marriott Austin.

The hands-on demonstration highlighted the vehicle’s thoughtful design for blind and visually impaired users, underscoring Tesla’s commitment to inclusive autonomous mobility. Attendees, many using white canes or accompanied by service dogs, experienced the steering-wheel-free Cybercab firsthand.

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The showcase emphasized practical features tailored to the needs of the blind community. Braille lettering appears on physical controls, including door releases and emergency buttons, allowing users to navigate interfaces independently through touch. Generous interior space accommodates service animals and assistive devices such as canes, guide dogs, or mobility aids without compromising comfort.

Wheelchair-height seating facilitates easier transfers for users with additional mobility challenges. Photos from the event captured blind attendees approaching the vehicle confidently, service dogs relaxing inside, and hands exploring Braille-equipped handles.

Tesla Robotaxi’s official account detailed these elements, noting the Cybercab’s focus on accessibility, especially noting the Braille lettering and additional space for service animals.

How Tesla Will Transform Mobility for the Blind

Autonomous vehicles like the Cybercab promise revolutionary independence for the roughly 2.2 million visually impaired Americans. Traditional barriers—reliance on sighted drivers, costly paratransit, or limited public transit—often restrict spontaneous travel. Tesla Full Self-Driving aims to eliminate the need for a human operator, enabling on-demand, door-to-door rides via simple app hailing with voice guidance.

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Users gain freedom to work, socialize, shop, or attend events anytime without scheduling hassles or safety concerns. This reduces isolation, boosts employment opportunities, and enhances quality of life, turning mobility from a dependency into true personal autonomy.

The NFB demonstration not only gathered valuable feedback but also generated excitement about a future where technology levels the playing field. By prioritizing inclusive design, Tesla advances a vision of transportation that serves everyone, potentially reshaping daily life for blind individuals and setting a standard for the autonomous industry.

As Cybercab deployment scales, these accessibility innovations could mark a significant step toward equitable mobility.

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Investor's Corner

Tesla challenges startups to score a gig inside its most advanced European factory

Tesla is challenging startups to bring their best battery tech directly to Gigafactory Berlin.

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Tesla has issued an open challenge to startups across Europe, inviting them to bring their best battery technology directly to the floor of Gigafactory Berlin. The program, called the JUNI x Tesla Battery Cell Giga Challenge, opened applications this month with a deadline of July 24, 2026, and is targeting startups with solutions that can make battery cell manufacturing faster, cheaper, safer, and more scalable at an industrial level.

The timing of the challenge is directly tied to Tesla’s most aggressive European battery investment yet. On May 12, 2026, Giga Berlin plant manager André Thierig announced a $250 million investment to scale the factory’s annual 4680 cell production capacity from 8 GWh to 18 GWh, more than doubling the previous target set just months earlier in December 2025. Thierig confirmed the expansion on X, saying the investment “will enable 18 GWh of annual 4680 cell production and create more than 1,500 new jobs.” Combined with a previously announced battery investment at the Grunheide site now approaches $1.2 billion.


The challenge is looking specifically for startups with proven solutions across five categories: materials, equipment, operations, automation, and artificial intelligence. Applications are screened directly by Tesla’s cell manufacturing team in Grunheide, and the strongest submissions move through technical discussions, a pitch day in front of Tesla stakeholders, and potentially a paid pilot project with the cell team. Tesla is not looking for ideas at concept stage. The program requires applicants to demonstrate working prototypes, test data, or prior pilots before being considered.

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The historical context matters here. Elon Musk first announced plans for what he called the world’s largest battery cell production facility alongside the Giga Berlin car factory back in 2020, targeting up to 250 GWh of annual capacity. Those plans were shelved in 2022 when Tesla shifted its battery investment focus to the United States to take advantage of Inflation Reduction Act incentives. The revival of cell production at Giga Berlin, now backed by over $1 billion in committed capital, represents a return to an ambition that was set aside for three years. As Teslarati has reported, the 4680 format is central to Tesla’s long-term cost reduction strategy across vehicles, energy storage, including the Tesla Semi and Cybercab.

By opening the challenge to outside startups, Tesla is acknowledging that reaching 18 GWh at Grunheide will require technology it does not currently have in-house, and it is willing to pay for the right solutions. For a startup in the battery supply chain, a paid pilot with Tesla’s European cell team is as close to a direct commercial path as the industry offers.

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