Investors can’t get enough of Elon Musk Inc.
The Boring Company, the tunneling company Musk founded with the aim of “defeating traffic,” announced on Thursday it had raised $3 billion in a funding round that values the startup at $23 billion.
It’s the latest major injection of cash into Musk’s business empire, after SpaceX raised $86 billion in a record-breaking public listing in June.
Investors have continued to clamor for a piece of anything Musk-related. Business Insider previously reported that Neuralink, the billionaire’s brain implant startup, was being valued as high as $42 billion on secondary markets, nearly five times the $9 billion the company was valued at in its May 2025 funding round.
The Boring Company was founded in 2016 in typically Musk fashion, with the SpaceX CEO announcing plans to build a tunneling company on Twitter after getting stuck in LA traffic.
It initially planned to build futuristic “hyperloops” that would zip consumers between cities in electric pods at top speeds of 600 miles per hour.
The Boring Company’s ambitious vision for revolutionizing public transit quickly ran into roadblocks; plans to build tunnels in LA, Washington, DC, and Chicago were all quietly shelved or canceled over the past decade.
Today, The Boring Company’s main project is the Vegas Loop, a transit system beneath the Las Vegas Convention Center, where customers are shuttled by Teslas through roughly 4 miles of tunnels.
The company has plans to expand the Vegas Loop to around 68 miles of tunnels, and has been given the green light to build similar systems in Nashville and Dubai.
The startup announced on Thursday that it had agreed a deal to build over 150km of tunnels across the United Arab Emirates, which is the lead investor in the Series D funding round.
The Boring Company has dug tunnels for Musk’s other companies, including a “Cybertunnel” for completed Cybertruck units at Tesla’s Texas gigafactory.
The tunneling firm’s latest funding round also includes Sequoia Capital, A16z, and Baron Capital.
Investors might have to pitch in more than money.
The Wall Street Journal reported last week that the company had told investors they would have to help with recruiting employees or setting up business deals if they wanted to participate in the round, a detail that Musk appeared to confirm in a post on X.
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