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The Boring Company is open to building tunnels for utility lines, says Elon Musk
Concepts of The Boring Company’s futuristic, ultra-high-speed tunnels show a sleek system transporting passenger pods and private vehicles at speeds of around 124 mph (200 km/h). As revealed recently by Elon Musk during a “fireside chat” in Los Angeles, though, the tunneling startup is also open to building tunnels that are far less glamorous.
While addressing around 3,800 mayors and city officials from across the United States at the National League of Cities’ 2018 City Summit last week, Elon Musk stated that the Boring Company’s technology could be used to build tunnels for utility lines. Candidly conversing with LA Mayor Eric Garcetti, Musk noted that his tunneling startup would even take on projects like sewer lines in the future.
“The Boring Co. is also going to do tunneling for, like, water transport, sewage, electrical. We’re not going to turn our noses up at sewage tunnels. We’re happy to do that too,” Musk said.
The Boring Company is built on the premise that current tunneling technologies and techniques still have areas for improvement. Just by reducing the size of the tunnels themselves, for one, The Boring Company expects to reduce tunneling costs by a factor of four. Elon Musk has also mentioned that the company is designing and building an all-electric tunnel boring machine, which would be capable of digging 10-15 times faster than a traditional TBM. Being small, the Boring Company’s tunnels are also capable of maintaining a vacuum, making them capable of supporting Hyperloop transportation systems in the future.
Ultimately, using The Boring Company’s tech to build tunnels for utility lines could prove strategic for cities. In a statement to Forbes, Constantine Samaras, an associate professor of civil and environmental engineering at Carnegie Mellon University, noted that the Boring Company’s faster, cheaper, and smaller tunnels would likely be a big benefit to cities.
“A lot of these systems (power, water, communications, and sewer lines) are old and in bad shape. Often, fixing utilities means cutting open the street and disrupting traffic. If the Boring Co. can use their tunneling technology to make it faster and cheaper to install and upgrade underground utilities, it will be a big benefit to cities,” Samaras stated.
Elon Musk might have found the Boring Company’s first customer for its sewage tunneling services too. During his chat with Musk, LA Mayor Garcetti candidly asked the Tesla and SpaceX CEO if Los Angeles could get the first sewage tunnel from The Boring Company. Elon Musk answered in the affirmative.
As the Boring Company prepares its Hawthorne test tunnel for its public showing on December 10, the company is also hard at work building its prototype garage-elevator concept at a private lot in 120th Street and Prairie Avenue. Photographs taken by Teslarati photographers Pauline Acalin and Tom Cross indicate that the Boring Company is moving fast to complete its futuristic garage-elevator concept, while constructing what appears to be a gantry for the tunnel boring machine it would use for its high-profile high-speed tunnel project in Chicago.
The Boring Company has the potential to disrupt several industries. With its high-speed tunnels, the tunneling startup could usher in an alternative, sustainable, and more efficient way of transportation. The company also has the potential to disrupt the low-cost housing market thanks to the Boring Bricks, which Musk estimates would cost around 10 cents per brick.
Elon Musk
Tesla’s secretive “Project Crystal Sun” gets a big green light in Texas
Fort Bend County approved four incentive agreements Thursday for Tesla’s proposed $10.1 billion solar factory.
Fort Bend County commissioners on Thursday approved a package of tax incentives for Tesla’s proposed $10.1 billion solar cell factory near Needville, Texas, giving the company one of the last local approvals it needs before it decides where to build. All four Tesla agreements passed 4 to 0.
The votes covered a property tax abatement inside Reinvestment Zone No. 34, a Chapter 381 economic development agreement, a foreign trade zone non-objection paired with payments in lieu of certain taxes, and a separate payment in lieu of taxes “true up” agreement, according to agenda notes from the Fort Bend Commissioners Court meeting.
The project, known internally as “Project Crystal Sun,” would make solar cells and finished modules on roughly 3,000 acres near FM 762 and FM 1994, south of the Brazos River. As Teslarati reported when the filing first surfaced in August, Tesla’s application under the state’s JETI Act splits the investment into $1.5 billion in real property and $8.6 billion in equipment, with 9,712 permanent jobs projected by 2033 and commercial operations targeted for the first quarter of 2029. The plant would handle the full chain from ingot and wafer production through cell testing.
Inside Tesla’s secretive $10 Billion “Project Crystal Sun” filing
Thursday’s approval does not lock in the site. Tesla has told the Texas Comptroller it is still weighing other locations, and site selection adviser David Dennison told Lamar Consolidated ISD trustees in September that the race had narrowed to Fort Bend and one out of state rival with a “very compelling package,” according to the Houston Chronicle. Tesla hopes to decide before the end of 2026, and the incentives still need sign off from the Comptroller and the Governor’s office.
Local officials have now done nearly everything within their control. Commissioners created the reinvestment zone in an August 24 special meeting, with Interim County Judge Daniel Wong formally withdrawing himself over his engineering firm’s past work with Tesla. Lamar CISD trustees voted 7 to 0 on September 15 to advance a JETI agreement that would tax Tesla’s qualifying property at 50 percent of its value for maintenance and operations from 2029 through 2038.
The plant lines up with a target Elon Musk set on Tesla’s Q4 2025 earnings call in January, when he said the company would “work toward getting 100 GW a year of solar cell production, integrating across the entire supply chain from raw materials all the way to finished solar panels.” In March, Tesla was reported to be negotiating a $2.9 billion purchase of Chinese solar manufacturing equipment bound for Texas. The Houston area already hosts Tesla’s Megafactory in Brookshire, where Megapack 3 production has started. Tesla said on its Q3 call that Megapack supply for 2027 is nearly sold out, and Musk wrote on X Thursday that the company is “increasing production of Megapacks as much as possible,” as demand from data centers climbs.
Tesla revealed plans to develop its own maps internally to fix Navigation issues and give owners more control over their routing.
On the company’s Q3 2026 Earnings Call, a question was asked about FSD Navigation issues, particularly speed limit recognition, parking, and routing. These are issues that surface from version to version and seem to be seriously challenging for Tesla’s AI team to resolve.
Tesla’s Head of AI, Ashok Elluswamy, said in response to the question:
“You’re totally right that we shouldn’t be depending on external people’s maps. So we are building our own maps, but not like the same way as OneMoreMap. We are building an entirely new architecture with essentially AI-based mapping and navigation.”
He continued:
“It’s going to be super awesome. It’s going to be integrated with voice. You can talk to it, ask for different routes. It’s going to learn your personalized preferences, plus the fleet preferences. The collective intelligence of all the cars is going to flow into making the maps and navigation super cool.”
Elluswamy said this issue should be confronted, and the mapping should be available for people by the time the v15 release starts deploying to customers.
“And over the next several months,” he added, “it’s just going to take over all of the navigation functions, parking, destination handling. And it will know you better than you know yourself in some regard for the driving task, and then handle it fully.”
Tesla Summon got insanely good in FSD v14.3.2 — Navigation? Not so much
Navigation is perhaps the most notable complaint with FSD, and although it has gotten better, it is still flawed. Much of the time, FSD will take people on routes that are not preferred by the driver, but Tesla tried to combat this with a routing feature in the Summer 2026 Update.
Tesla currently relies on Google for map data, but it is sort of counterintuitive to believe the company would rely on a third party for this. These improvements will be welcome, as routing and navigation have been such a pain point for so many owners for so long.
Quotes via Motley Fool
Tesla Full Self-Driving (Supervised) showed a record attach rate at delivery for new vehicles in the third quarter of 2026.
75 percent of new vehicle deliveries in North America included a subscription to FSD software, up from 55 percent in the prior quarter, a 20-percentage-point sequential gain in the company’s most mature market.
Tesla Q3 2026 Earnings results: in-line revenues, slight beat on EPS
Tesla shed light on the Q3 Shareholder Deck that 75 percent of new deliveries came with an FSD subscription:
“FSD (Supervised)⁴ attach rate continued to grow, reaching over 75% of new vehicle deliveries in North America – our most mature market – a nearly twenty percentage point sequential increase. We believe that FSD is driving demand in markets where it is available, and we continue to work with regulators to get it approved in other markets. “
The higher attach rate accompanied strong growth in the overall FSD consumer base, as active subscriptions rose to 1.75 million, a 67 percent year-over-year increase. For the first time, more than half of paid customers are on the monthly subscription, which is priced at $99 per month in the U.S.
People are buying FSD with a car attached, not the other way around
— Elon Musk (@elonmusk) October 21, 2026
The transition to subscriptions has accelerated since Tesla discontinued the one-time purchase option in most markets earlier this year. The recurring model improves revenue visibility and margins compared with large upfront payments. With three-quarters of North American deliveries now including FSD, the software is now an evidently large contributor to Tesla’s economics and ancillary revenue.
Geographic expansion remains important for further gains. FSD is now available in nine countries in the EU, and more than 100,000 customers have driven over 160 million kilometers. Tesla is pursuing broader EU-wide approval, with a related vote expected in December. Similar progress in additional markets could support higher attach rates beyond North America.
These results came as Tesla had a strong quarterly delivery performance of 486,532 vehicles in the quarter, which came with its largest passenger-vehicle backlog in four years. Battery supply continued to limit volume, but the company has pointed to FSD as a clear difference-maker that is helping sustain demand. As supervised capabilities improve, the attach rate will likely continue to improve.
At face value, it is a key measure of how Tesla is converting sales into autonomy progress.
Tesla’s secretive “Project Crystal Sun” gets a big green light in Texas
Tesla is building its own maps to fix Navigation issues
