The Boring Company raises $3B in round led by UAE

Elon Musk’s tunneling company, The Boring Company, has raised a $3 billion Series D funding round that pushes its valuation to $23 billion.

The round was led by the United Arab Emirates. The Boring Company said Thursday that it now plans to dig more than 150 kilometers of tunnels in the country. Andreessen Horowitz, Sequoia Capital, Human Capital, Vy Capital, and Valor Equity Partners also participated.

The Wall Street Journal reported in July that The Boring Company was looking to raise as much as $4 billion.

The Boring Company has done most of its digging to date in Las Vegas, Nevada, where it operates a handful of tunnels connecting hotel casinos and the convention center. It recently started work on a project in Nashville, Tennessee, that will involve a 10-mile underground “loop.”

The company says its goal is to “solve traffic” by moving vehicle travel into an underground, three-dimensional network of tunnels.

Why it matters

A $3 billion round at a $23 billion valuation, led by the United Arab Emirates itself, gives The Boring Company runway to prove its tunnel model works at national scale — a much bigger bet than its existing city-specific projects in Las Vegas and Nashville.