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SpaceX to build massive, new Hyperloop tunnel for 2020 competition, says Elon Musk

WARR Hyperloop's victorious 2018 pod. (WARR Hyperloop)

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SpaceX just completed its fourth hosted Hyperloop competition since its 2017 debut and Hyperloop inventor and CEO Elon Musk capped the successful event with a big claim: in 2020, SpaceX plans to host Competition 5 at a brand-new vacuum tunnel that could offer all kinds of new opportunities to next year’s student teams.

According to Musk, that new track – presumably to be built by The Boring Company with SpaceX help – could be up to 10 km (6.2 mi) in length, will support a full vacuum like its 1.6 km (1 mi) predecessor, and will feature a curved track. Altogether, those features could support truly insane top speeds and allow teams to test pods with far more realistic acceleration profiles relative to those that have been tested at SpaceX’s track in the last few years. Furthermore, Musk specifically described the new track as a “10km vacuum tunnel”, immediately bringing to mind the obvious possibility of a new Boring Company collaboration.

As mentioned above, SpaceX just wrapped up its fourth Hyperloop competition in two years. Of the 21 teams that won slots in the event, only four were judged by SpaceX to be ready for speed runs. Of those four, the German team TUM Hyperloop (formerly WARR Hyperloop) reached a top speed of 288 mph (463 km/h, 128 m/s) before the pod suffered visible damage and performed a flawless emergency stop, pulling dozens of Gs and coming to a halt in just 50-100m.

https://twitter.com/_TomCross_/status/1153141210468405248

In a nominal outcome, TUM Hyperloop anticipated that their fourth-generation pod could reach a top speed of more than half the speed of sound (~380+ mph, 600+ km/h). In 2018, they achieved a spectacular top speed of 290 mph, just slightly edging out Pod IV’s pre-anomaly performance this year. The runner-up, Swissloop, reached a still-impressive top speed of ~160 mph (260 km/h), a demonstrating of just how far ahead of its peers TUM/WARR remains.

At the end of the day, speed records are just icing on the Hyperloop Competition cake, following the main motivation of offering an almost unbeatable applied engineering learning opportunity for student groups around the world.

Hyperloop Alpha?

Assuming SpaceX and/or The Boring Company manage to pull off a minor engineering miracle and successfully build a “10km vacuum tunnel” in a single year, the company will have easily set itself up to host countless more competitions in the coming years. Additionally, assuming that “tunnel” refers to a full-scale tunnel capable of being built by The Boring Company, SpaceX’s new Hyperloop test facilities will be at or very near full-scale relative to the operational, human-rated transportation system that is the concept’s ultimate goal.

The test tunnel quite literally bored under the current above-ground Hyperloop track has a final usable diameter of 12 feet (3.7m), more than double the 6-foot (1.8m) diameter of the track currently used for competitions. Additionally, it would be even larger than Hyperloop One’s ~11 foot (3.3m) diameter Nevada test track. Ultimately, such a large tunnel would simultaneously give The Boring Company experience with building a true vacuum tunnel system and provide an opportunity for full-scale vacuum train (i.e. hyperloop) testing over unprecedented distances.

Maybe, just maybe, Elon Musk is thinking about putting a bit more time into turning his original Hyperloop concept into a finished product.

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Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Tesla CEO Elon Musk outlines expectations for Cybercab production

“…initial production is always very slow and follows an S-curve. The speed of production ramp is inversely proportionate to how many new parts and steps there are. For Cybercab and Optimus, almost everything is new, so the early production rate will be agonizingly slow, but eventually end up being insanely fast.”

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Credit: Tesla

Tesla CEO Elon Musk outlined expectations for Cybercab production as the vehicle is officially set to start rolling off manufacturing lines at the company’s Giga Texas factory in less than 100 days.

Cybercab is specifically designed and catered to Tesla’s self-driving platform and Robotaxi ride-hailing service. The company has been pushing hard to meet its self-set expectations for rolling out an effective self-driving suite, and with the Cybercab coming in under 100 days, it now needs to push for Unsupervised Self-Driving in the same time frame.

Tesla CEO Elon Musk confirms Robotaxi is set to go unsupervised

This is especially pertinent because the Cybercab is expected to be built without a steering wheel or pedals, and although some executives have said they would build the car with those things if it were necessary.

However, Musk has maintained that the Cybercab will not have either of those things: it will have two seats and a screen, and that’s it.

With production scheduled for less than 100 days, Musk broke down what people should expect from the initial manufacturing phases, being cautiously optimistic about what the early stages will likely entail:

“…initial production is always very slow and follows an S-curve. The speed of production ramp is inversely proportionate to how many new parts and steps there are. For Cybercab and Optimus, almost everything is new, so the early production rate will be agonizingly slow, but eventually end up being insanely fast.”

Musk knows better than most about the challenges of ramping up production of vehicles. With the Model 3, Musk routinely refers to it as “production hell.” The Cybertruck, because of its polarizing design and stainless steel exterior, also presented challenges to Tesla.

The Cybercab definitely presents an easier production process for Tesla, and the company plans to build millions of units per year.

Musk said back in October 2024:

“We’re aiming for at least 2 million units a year of Cybercab. That will be in more than one factory, but I think it’s at least 2 million units a year, maybe 4 million ultimately.”

When April comes, we will find out exactly how things will move forward with Cybercab production.

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Tesla reveals awesome Model 3 and Model Y incentive, but it’s ending soon

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Credit: Tesla Europe & Middle East/X

Tesla has revealed an awesome Model 3 and Model Y incentive to help consumers make the jump to one of its affordable mass-market vehicles, but it’s ending soon.

Tesla is offering one free upgrade on eligible inventory of the Model 3 and Model Y until February 2.

This would help buyers receive the most expensive paid option on the vehicle at no additional cost, meaning white interior or a more premium paint option will be free of charge if you take delivery on or before February 2.

Tesla states on its website for the offer:

“Only for limited inventory while supplies last. Price displayed on inventory listings already deducts the cost of the free option.”

This latest incentive is just another advantage Tesla has by selling its vehicles directly and not using some sort of dealership model that relies on approvals from higher-ups. It is important to note that these programs are offered to help stimulate demand and push vehicles into customers’ hands.

It is not the only incentive Tesla is currently offering, either. In fact, there is a much larger incentive program that Tesla is working on, and it has to do with Full Self-Driving transfers, which could result in even more sales for the company through Q1.

Tesla is ending its FSD Transfer program on March 31, as it plans to transition to a Subscription-only basis with the self-driving suite for anyone who has not already purchased it outright.

This could help drive some on-the-fence buyers to new vehicles, but it remains to be seen. Given the timing of the program’s demise, it appears Tesla is hoping to use it to add additional sales and bolster a strong Q1 2026.

Interior and exterior paint colors can add up to $2,000 if you choose the most premium Ultra Red body color, or an additional $1,000 for the Black and White interior option. The discount, while small, could help get someone their preferred design configuration, instead of settling for something that is not quite what they want.

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Tesla Full Self-Driving gets outrageous insurance offer with insanely cheap rates

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Credit: Ashok Elluswamy/X

Tesla Full Self-Driving is getting an outrageous insurance offer with insanely cheap rates that will slash the cost of coverage by 50 percent.

Lemonade, a digital insurance company, has launched its first-of-a-kind product known as Lemonade Autonomous Car Insurance, and it is starting with an exclusive offer to FSD. The new offer will cut rates for FSD-engaged driving by “approximately 50 percent,” highlighting the data that shows a significantly safer driving environment when the suite is activated and engaged.

The company also said it plans to introduce even cheaper rates as Tesla continues to release more advanced FSD versions through software updates. Tesla has been releasing new FSD versions every few weeks, highlighting vast improvements for those who have the latest AI4 chip.

The announcement comes just a few months afterLemonade Co-Founder and President Shai Wininger said that he wanted to insure FSD vehicles for “almost free.” He said that Tesla’s API complemented Lemonade’s AI-based platform because it provides “richer and more accurate driving behavior data than traditional UBI devices.”

Tesla Full Self-Driving gets an offer to be insured for ‘almost free’

In mid-December, Lemonade then offered Tesla owners in California, Oregon, and Arizona the opportunity to connect their vehicles directly to the company’s app, which would provide a direct connection and would require a separate telematics device, which is required with other insurance providers who offer rates based on driving behaviors.

This latest development between Lemonade and Tesla is something that Wininger believes will be different because of the advanced nature of FSD:

“Traditional insurers treat a Tesla like any other car, and AI like any other driver. But a car that sees 360 degrees, never gets drowsy, and reacts in milliseconds can’t be compared to a human.”

He went on to say that the existing pay-per-mile product has given the company something that no traditional insurer has been able to offer. This comes through Lemonade’s “unique tech stack designed to collect massive amounts of real driving data for precise, dynamic pricing.”

The reputation FSD has gathered over the past few years is really impressive. Wininger backed this with some more compliments:

“Teslas driven with FSD are involved in far fewer accidents. By connecting to the Tesla onboard computer, our models are able to ingest incredibly nuanced sensor data that lets us price our insurance with higher precision than ever before.”

The product will begin its official rollout in Arizona on January 26. Oregon will get it a month later.

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