Key facts
- The Boring Company raised $3 billion in a new funding round.
- The startup is now valued at $23 billion.
- The funding round was led by the United Arab Emirates and affiliated investment entities.
- Funds will support the development of over 150 km of underground infrastructure across the UAE.
- The company plans to increase hiring and expand Loop projects in Las Vegas, Nashville, and Dubai.
- The company's valuation increased from $5.7 billion in 2022.
The Boring Company, Elon Musk's tunnel construction startup, has secured $3 billion in a new funding round that values the company at $23 billion. The investment was led by the United Arab Emirates and affiliated investment entities, with participation from firms including Human Capital, Vy Capital, Valor Equity Partners, Sequoia Capital, Andreessen Horowitz, Temasek, Shamal Holding, and Baron Capital.
The capital infusion is earmarked to support an expanded partnership with the UAE to develop over 150 kilometers (93 miles) of underground infrastructure, building upon the previously announced Dubai Loop project. The company also intends to use the funds to boost hiring across engineering, production, and operations, and to expand its Loop projects in Las Vegas and Nashville, in addition to Dubai.
Founded by Musk in 2017 amid concerns over traffic congestion, The Boring Company aims to create networks of underground transportation routes. Last year, the company and Dubai's Roads and Transport Authority entered into a preliminary agreement for the Dubai Loop, an underground high-speed transport network. This latest fundraising significantly increases the company's valuation from $5.7 billion in 2022, when it raised $675 million.