On Thursday, SpaceX disclosed that its investment in The Boring Company yielded a gain of $561 million in the third quarter, which represented more than half of its 'other income' for the period. This gain played a crucial role in elevating SpaceX's net income to just over $4 billion, as detailed in its quarterly filing with the SEC.
The Boring Company, founded in 2017 and spun out in 2018, aims to transform transportation through underground tunnels. Recently, it secured $3 billion in funding at a valuation of $23 billion, with investments from the UAE and other supporters of Elon Musk.
Currently, Boring Co. operates its only public tunnels in Las Vegas, facilitating travel between the convention center and casinos via Tesla vehicles. Additionally, the company is working on a 20-mile tunnel project in Nashville, known as the Music City Loop, which has faced safety concerns. In the UAE, plans include constructing over 150 kilometers of tunnels, including the Dubai Loop.
Furthermore, SpaceX invested $151 million in Tesla's Megapack energy storage systems during the same quarter. Musk suggested a potential merger between SpaceX and Tesla, indicating that both companies have formed special committees to explore this possibility