Joe Lonsdale Pitched $2.6 Billion Boring Company Tunnel System to Austin Mayor
Venture capitalist Joe Lonsdale proposed a massive $2.6 billion citywide tunnel network for Austin, Texas, to be constructed by Elon Musk’s Boring Company, according to emails obtained by Fortune. Lonsdale, an investor in the Boring Company, initially suggested a small-scale, privately funded one-mile tunnel connecting properties owned by himself and friends. This pilot project, estimated at $6-7 million, was intended to demonstrate the technology's speed and affordability to city leaders. The broader vision outlined in his pitch deck involved a two-phase expansion: first, a 34-mile system with eight stations linking key locations like the airport and Q2 Stadium, followed by a 278-mile expansion into suburbs with 37 additional stations. The proposal highlighted potential land donations from a group of successful citizens near major landmarks, including Tesla’s Gigafactory. While the plan featured electric vehicle transport, it remained unclear if the initial private tunnel was meant for public use or as a precursor to public infrastructure. Former Austin Mayor Steve Adler acknowledged the pitch, comparing it to other local infrastructure proposals, though the initiative's ultimate status remains uncertain following the disclosure of these communications.
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Joe Lonsdale Pitched $2.6 Billion Boring Company Tunnel System to Austin Mayor
Venture capitalist Joe Lonsdale proposed a massive $2.6 billion citywide tunnel network for Austin, Texas, to be constructed by Elon Musk’s Boring Company, according to emails obtained by Fortune. Lonsdale, an investor in the Boring Company, initially suggested a small-scale, privately funded one-mile tunnel connecting properties owned by himself and friends. This pilot project, estimated at $6-7 million, was intended to demonstrate the technology's speed and affordability to city leaders. The broader vision outlined in his pitch deck involved a two-phase expansion: first, a 34-mile system with eight stations linking key locations like the airport and Q2 Stadium, followed by a 278-mile expansion into suburbs with 37 additional stations. The proposal highlighted potential land donations from a group of successful citizens near major landmarks, including Tesla’s Gigafactory. While the plan featured electric vehicle transport, it remained unclear if the initial private tunnel was meant for public use or as a precursor to public infrastructure. Former Austin Mayor Steve Adler acknowledged the pitch, comparing it to other local infrastructure proposals, though the initiative's ultimate status remains uncertain following the disclosure of these communications.
Fortune | FORTUNE