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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.
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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.”
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.
With the important caveat that initial production is always very slow and follows an S-curve.
The speed of the 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…
— Elon Musk (@elonmusk) January 20, 2026
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.
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.”
Tesla says its one free upgrade offer on eligible U.S. inventory for the Model 3 and Model Y ends February 2.
With this incentive, buyers receive the most expensive paid option on the vehicle at no additional cost (up to $2k in savings). pic.twitter.com/IhoiURrsDI
— Sawyer Merritt (@SawyerMerritt) January 21, 2026
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.
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.
Tesla CEO Elon Musk outlines expectations for Cybercab production
Tesla reveals awesome Model 3 and Model Y incentive, but it’s ending soon
