In 2016, Elon Musk tweeted, “Traffic is driving me nuts. I’m going to build a tunnel-boring machine and just start digging.” Many dismissed it as another whimsical idea from the Tesla and SpaceX CEO, but less than a decade later, The Boring Company is proving skeptics wrong with its expanding Vegas Loop.

With $75 million in annual revenue, 28,000 daily passengers, and 150 Teslas in operation, this underground transportation network is redefining how cities think about mobility.

Catch up on our conversation about how The Boring Company may solve gridlock!

A Simple but Effective Model

The Vegas Loop—currently connecting parts of Las Vegas, including the convention center and Resorts World—is a triumph of execution over innovation. Unlike other high-tech transit solutions that rely on autonomous vehicles or complex routing algorithms, The Boring Company’s system operates with human drivers in regular Teslas. Despite the simplicity, the results speak volumes:

• Passengers enjoy a 2-minute average wait time.
• The system has maintained a 90% customer satisfaction rate.
• It achieved profitability in its first year of operation.

The Vegas Loop created by Elon Musk's Boring Company, uses Tesla Model 3 cars for passenger transport.

This is what it looks like.

[📹 Michael Yacksyzn / ordyaxzin]pic.twitter.com/pIQOcAUpsA

— Massimo (@Rainmaker1973) April 30, 2024

This model, described as “point-to-point mass transit,” offers direct rides with no intermediate stops, distinguishing it from traditional subways or buses. As one X user aptly summarized, “The Vegas Loop isn’t using any groundbreaking tech. No autonomous vehicles. No fancy routing algorithms. No ‘hyperloop’ magic. Just human drivers in regular Teslas.”

The Infrastructure Revolution

The Boring Company’s vision extends far beyond the Vegas Strip. With 68 stations planned and 87 miles of tunnels in development, the Loop aims to connect the entire city, from McCarran International Airport to downtown Las Vegas in just five minutes. This rapid expansion contrasts starkly with traditional subway projects, which often take decades to complete.

Full timelapse of Prufrock-3 retrieval onto The Monster inside Giga Texas pic.twitter.com/6MyJNdPFBw

— The Boring Company (@boringcompany) June 13, 2024

Part of the company’s success lies in its construction methodology. Its tunnel-boring machine, Prufrock, is designed to be efficient, scalable, and cost-effective:

• Fast Tunneling: Prufrock can tunnel at a speed of one mile per week, a significant improvement over traditional methods.
• Cost Reduction: By standardizing tunnel sizes and reusing excavated dirt for bricks and pavers, The Boring Company reduces both costs and environmental impact.
• Minimal Disruption: Tunnels are typically dug 30 feet or more below the surface, avoiding interference with utilities and minimizing noise or vibration.

This approach enables the company to sidestep many of the hurdles faced by conventional transit infrastructure projects.

Why Tunnels?

The Boring Company’s mission is rooted in addressing the challenges of urban congestion and surface-level transportation. Tunnels offer several advantages:

• Weatherproof: Unlike above-ground systems, tunnels are unaffected by rain, snow, wind, or extreme temperatures.
• Expandable: Tunnels can be layered to create multi-level transportation networks as demand grows.
• Safe: Tunnels are one of the safest places to be during an earthquake, protecting against falling debris.
• Invisible: By moving transportation underground, cities can preserve valuable surface space for parks, housing, and businesses.

As Musk himself has said, “Tunneling enables economical, layered transportation networks that can be expanded over time.”

Moving People and Money

Beyond its innovative design, the Vegas Loop is a financial success. With $75 million in annual revenue and tens of thousands of passengers using the system daily, it demonstrates a viable business model for urban transit. Passengers appreciate the convenience of direct, fast rides, and cities benefit from reduced congestion without the massive expenditures typical of rail or highway projects.

Critics and Challenges

Not everyone is convinced. Detractors argue that the Vegas Loop lacks the scalability of traditional public transit. The system’s reliance on human drivers and Teslas, rather than autonomous vehicles or larger-capacity trains, raises questions about its ability to handle massive crowds.

However, The Boring Company counters that its flexibility is a feature, not a flaw. Unlike subways, which require large, fixed stations, Loop stations can be as small as two parking spaces. This adaptability allows for high-density station placement, reducing congestion and providing more convenient access points for users. Larger stations can be built to meet higher demand if necessary.

Safety First

The Loop’s safety features further bolster its appeal. Teslas used in the system have earned the National Highway Traffic Safety Administration’s top 5-star rating. Loop tunnels are equipped with fire suppression systems, emergency exits, and 24/7 monitoring through a centralized control center. The United States Department of Homeland Security even awarded the Vegas Loop the Gold Standard Award for security and emergency preparedness.

Thanks to @austinfiredept for being a great partner – the teams have initiated recurring tunnel safety drills in Texas.

Goal is always to maximize Loop system safety and reliability. pic.twitter.com/I3bZ0iGr6Y

— The Boring Company (@boringcompany) October 30, 2024

The Mars Connection

Elon Musk’s tunneling ambitions don’t end on Earth. Prufrock’s “porpoising” capability—its ability to launch directly from the surface and re-emerge without extensive excavation—could be critical for building underground habitats on Mars. The red planet’s surface, plagued by extreme radiation and meteor impacts, makes tunneling an attractive solution for human settlement.

While the Vegas Loop is a commercial success, it also serves as a testing ground for the technologies that could one day transform Mars’ rocky terrain into a livable environment. Ancient lava tubes on Mars could provide natural pathways for interconnected habitats, with Prufrock technology enabling rapid, efficient excavation.

A New Category of Transportation

The Boring Company’s Vegas Loop is a testament to the power of practical, incremental innovation. By focusing on what can be built today rather than chasing futuristic dreams, the company has created a new category of transportation that is fast, safe, and profitable.

With plans to expand the Vegas Loop, develop utility and freight tunnels, and even pave the way for Martian cities, The Boring Company is digging far deeper than anyone could have imagined. As one X user put it, “Sometimes the best solution isn’t the most advanced one. It’s the one that can be built today, serves real needs, and makes money while doing it. That’s the real tunnel vision.”