Elon Musk has secured $120 million in new funding for The Boring Company, the tunnel-digging project he dreamt up while sitting in Los Angeles traffic back in 2016. It’s the first outside money to come into The Boring Company, though some of it is from a friendly party: the new fund from venture capitalist Steve Jurvetson’s, who has a seat on the boards of directors for both Tesla and SpaceX. The news was first reported by Bloomberg.
The $120 million was raised by selling Boring Company stock, and according to a spokesperson, buyers are early-stage venture firms 8VC and Craft Ventures, Vy Capital from the United Arab Emirates, Valor Capital, and DFJ — the firm Jurvetson was ousted from in 2017. The new funding more than doubles the amount of money generated by the tunneling startup so far. The company raised $113 million last year, though 90 percent of that came from Musk himself. (Musk has also, notably, sold merch to fund The Boring Company, like flamethrowers.)
Musk built The Boring Company up with help from SpaceX. The company’s first test tunnel, which we rode through last December, was partly built by SpaceX employees “using equipment purchased with SpaceX funds,” according to The Wall Street Journal. That arrangement reportedly rubbed some SpaceX investors the wrong way, though it fits Musk’s pattern of mixing the interests of his companies.
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