May 13, 2025 • 9 mins
The federal government is exploring new ways to rein in costs on one of Amtrak’s biggest infrastructure projects. Elon Musk’s tunneling venture, The Boring Company, is now in talks with transportation officials to potentially take over or advise on the troubled Frederick Douglass Tunnel between Baltimore and Washington. The deal could save billions—or entangle Musk deeper in a web of conflicting interests.
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Episode Transcript
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(00:00):
Welcome back to the. Elon Musk.
Podcast the. World's authority on Tesla.
SpaceX X. Neurolink and all things Elon.
I'm your host, Will Walden. Thanks to our amazing community
members like you, we've reached the top 15 of Spotify's video
podcast, the top 10 audio podcast on both Apple and
Spotify for the tech category. So you all make.
(00:22):
This possible? If you want to support us more,
check out our Patreon. That's patreon.com/stage 0 news,
so we can keep this free and open for you to enjoy.
Something interesting happened the other day.
I was looking through our stats on Spotify and Apple Podcast and
I noticed that about. 50. 5% of you are not subscribed to the
(00:46):
show. That means 45% of you are
subscribed and I really do appreciate your support.
Now the. Other 55% of you are awesome,
but I'm going to ask you for a. Favor, could you?
Please hit the subscribe button.It'll take you one second.
I'm going to promise you 10 years of this podcast for free,
no pay walls. I'm not going to charge you
anything ever, but I'm going to give you 10 years of this show
(01:08):
for free. I've already been doing it for
five years, and I plan on doing it for 10 more.
And the only way that we can continue doing this is with your
support. So one second of your time to
hit the subscribe button right now would help the show
tremendously. Thank you so much.
The federal government is exploring new ways to rein in
(01:29):
costs on one of Amtrak's biggestinfrastructure projects, Elon
Musk's tunneling venture. The Boring Company is now in
talks with transportation officials to potentially take
over or advise on the troubled Frederick Douglass Tunnel
between Baltimore and Washington.
The Frederick Douglass Tunnel was originally expected to cost
$6 billion. Today, the government believes
(01:49):
it could balloon to $8.5 billionbefore it's finished.
That increase has alarmed the Department of Transportation and
Amtrak leadership, who have failed to find ways to lower
costs after years of planning. This failure led the Federal
Railroad Administration FRA to bring in the Boring Company for
discussions. Last month, officials from the
agency met directly with Musk's employees to explore alternative
(02:13):
tunnel construction methods. The project is meant to replace
the one or 52 year old Baltimoreand Potomac Tunnel, a choke
point along the busy Amtrak corridor connecting the
Northeast. As the single largest
infrastructure effort in Amtrak's history, the tunnel
spans just 1.4 miles but is crucial to connecting Baltimore
with Washington DC and points southward.
(02:33):
Delays in that stretch slow downthe entire Amtrak NE corridor,
which serves millions of riders annually.
The Boring Company claimed during talks that it could
execute the tunnel faster and cheaper than current
contractors. These promises appealed to dot
leaders who are trying to bring the project back within its
budget. Musk's firm has long pitched
itself as a low cost tech forward tunneling operation that
(02:57):
can outperform traditional builders.
The existing contractor is a joint venture between Kewitt and
JF Shea, 2 massive infrastructure companies with
decades of experience. Amtrak awarded them the job in
2023, but the work has progressed slower than expected.
The companies did not issue any public response to news of the
Boring Company's involvement. Federal officials have not yet
(03:19):
finalized any new engineering contracts.
The Boring Company is one of several being evaluated,
according to the Department of Transportation.
Nathaniel Sizemore, a spokesman for the department, confirmed
these consultations and said they are part of a broader
strategy to find cost saving opportunities.
Elon Musk's growing proximity tofederal infrastructure planning
(03:40):
has raised questions about conflicts of interest.
Musk leads six companies, including Tesla, SpaceX,
Neurolink, XAI, Twitter X and the Boring Company.
He also chairs the Department ofGovernment Efficiency DIOG, an
informal advisory group formed under the Trump administration
to cut federal spending. Musk's influence over government
(04:02):
decisions has already triggered scrutiny.
In March, President Trump featured Tesla cars on the White
House lawn as part of a push forelectric vehicle adoption.
Around the same time, federal officials advocated for broader
deployment of Starlink, Musk's satellite Internet venture under
SpaceX, in government operations.
Musk has also publicly criticized Amtrak, calling it
(04:24):
inefficient and suggesting that it be privatized.
At a bankers conference in March, he warned foreign
visitors not to use the US rail service because it would give
them a negative impression of America.
This speech came just weeks before the Department of
Transportation met with his tunneling company.
In a separate effort, Musk pushed the FAA to cancel a
multibillion dollar contract with Verizon for air traffic
(04:46):
control upgrades. He argued that Starlink could
provide a better alternative. Shortly after a January crash
involving an Army helicopter anda commercial plane, SpaceX
employees were brought into FAA's air traffic headquarters
to consult on safety improvements.
Musk has made similar promises before.
In 2017, he claimed on Twitter that he had verbal government
(05:07):
approval to build a Hyperloop between New York, Philadelphia,
Baltimore and Washington, Washington.
He said it would move passengersbetween New York and DC in under
30 minutes. That project never advanced past
early paperwork and vanished from his company's websites by
2021. The Boring Company also once
proposed a 35 mile underground car tunnel between Baltimore and
(05:28):
Washington. Musk's team claimed it could
complete that work in two years.That proposal also disappeared,
with no updates or construction ever occurring.
The company's leader, Steve Davis, has worked closely with
Musk to implement the cost cutting directives at DOGE.
Davis has no background in transportation engineering but
has long been part of Musk SCOREteam.
(05:49):
Musk named him CEO of The BoringCompany in 2018 and tasked him
with accelerating progress on the company's stalled projects.
Musk has grown frustrated with Davis's lack of results,
according to people familiar with internal discussions.
Although Davis has defended his efforts, saying his government
work is driven by a desire to reduce waste, critics argue that
(06:09):
he lacks the technical experience to lead national
scale transportation efforts. He declined to comment for this
story. The cost overrun on the
Frederick Douglass Tunnel has triggered national attention.
Republican lawmakers, including Senator Ted Cruz and Vice
President JD Vance, have accusedthe government of directing
disproportionate funds toward northeastern infrastructure.
(06:31):
They argue that southern and western states receive far less
support for their transportationneeds.
The tunnel itself remains A vital component of national
travel. Thousands of trains run through
the existing structure each year.
Despite the tunnels outdated design and poor condition.
Engineers have warned for years that its failure could lead to
(06:51):
major service disruptions from Boston to Virginia.
Despite the Boring Company's lack of completed US projects,
it's low cost tunneling methods continue to attract interest.
The company raised over $900 million in venture capital and
completed a short tunnel under the Las Vegas Convention Center,
but failed to scale that model elsewhere.
(07:12):
Its other proposals, including citywide systems in Chicago and
Los Angeles, stalled or disappeared entirely.
This renewed interest in Musk's tunneling company comes at a
moment when federal infrastructure projects are
under enormous pressure. Inflation and labor shortages
have driven up costs nationwide.Rail and Hwy. projects across
the country face delays, redesigns or cancellations.
(07:35):
Due to funding constraints, the Department of Transportation has
not committed to awarding any new contracts to Musk's firm.
It is still reviewing the results of its consultations
with The Boring Company and other engineers.
Any future agreements would require approval from Amtrak and
likely congressional oversight, given the size of the federal
investment. The Frederick Douglass Tunnel is
(07:57):
currently projected to finish by2035.
That timeline could change if new contractors are brought in
or if major engineering decisions are reversed.
For now, Amtrak continues with the current plan while federal
officials consider alternatives.The growing overlap between
Musk's companies and federal infrastructure is already
reshaping policy decisions. Whether or not the Boring
(08:19):
Company takes over the FrederickDouglass Tunnel, Musk's
influence on the direction and cost of American transportation
is expanding. As his business has become more
embedded in federal decisions, the separation between private
innovation and public service continues to shrink.
The government is weighing whether Elon Musk's tunnel
company can save billions on a failing Amtrak project or
(08:42):
whether it adds more risks than rewards.
I want to say thank you so much for tuning into the show today.
I really do appreciate. Your support, if you could take
a second and hit the subscribe or the follow button on whatever
podcast platform that you're listening on.
Right now I. Greatly appreciate it, it helps
out the show tremendously and you'll never miss an episode.
(09:02):
And each episode is about 10 minutes or less to get you
caught up quickly. And please, if you want to
support the show even more, go to patreon.com/stagezero and
please take care of yourselves and each other and I'll see you
tomorrow.
Welcome back to the. Elon Musk.
Podcast the. World's authority on Tesla.
SpaceX X. Neurolink and all things Elon.
I'm your host, Will Walden. Thanks to our amazing community
members like you, we've reached the top 15 of Spotify's video
podcast, the top 10 audio podcast on both Apple and
Spotify for the tech category. So you all make.
(00:22):
This possible? If you want to support us more,
check out our Patreon. That's patreon.com/stage 0 news,
so we can keep this free and open for you to enjoy.
Something interesting happened the other day.
I was looking through our stats on Spotify and Apple Podcast and
I noticed that about. 50. 5% of you are not subscribed to the
(00:46):
show. That means 45% of you are
subscribed and I really do appreciate your support.
Now the. Other 55% of you are awesome,
but I'm going to ask you for a. Favor, could you?
Please hit the subscribe button.It'll take you one second.
I'm going to promise you 10 years of this podcast for free,
no pay walls. I'm not going to charge you
anything ever, but I'm going to give you 10 years of this show
(01:08):
for free. I've already been doing it for
five years, and I plan on doing it for 10 more.
And the only way that we can continue doing this is with your
support. So one second of your time to
hit the subscribe button right now would help the show
tremendously. Thank you so much.
The federal government is exploring new ways to rein in
(01:29):
costs on one of Amtrak's biggestinfrastructure projects, Elon
Musk's tunneling venture. The Boring Company is now in
talks with transportation officials to potentially take
over or advise on the troubled Frederick Douglass Tunnel
between Baltimore and Washington.
The Frederick Douglass Tunnel was originally expected to cost
$6 billion. Today, the government believes
(01:49):
it could balloon to $8.5 billionbefore it's finished.
That increase has alarmed the Department of Transportation and
Amtrak leadership, who have failed to find ways to lower
costs after years of planning. This failure led the Federal
Railroad Administration FRA to bring in the Boring Company for
discussions. Last month, officials from the
agency met directly with Musk's employees to explore alternative
(02:13):
tunnel construction methods. The project is meant to replace
the one or 52 year old Baltimoreand Potomac Tunnel, a choke
point along the busy Amtrak corridor connecting the
Northeast. As the single largest
infrastructure effort in Amtrak's history, the tunnel
spans just 1.4 miles but is crucial to connecting Baltimore
with Washington DC and points southward.
(02:33):
Delays in that stretch slow downthe entire Amtrak NE corridor,
which serves millions of riders annually.
The Boring Company claimed during talks that it could
execute the tunnel faster and cheaper than current
contractors. These promises appealed to dot
leaders who are trying to bring the project back within its
budget. Musk's firm has long pitched
itself as a low cost tech forward tunneling operation that
(02:57):
can outperform traditional builders.
The existing contractor is a joint venture between Kewitt and
JF Shea, 2 massive infrastructure companies with
decades of experience. Amtrak awarded them the job in
2023, but the work has progressed slower than expected.
The companies did not issue any public response to news of the
Boring Company's involvement. Federal officials have not yet
(03:19):
finalized any new engineering contracts.
The Boring Company is one of several being evaluated,
according to the Department of Transportation.
Nathaniel Sizemore, a spokesman for the department, confirmed
these consultations and said they are part of a broader
strategy to find cost saving opportunities.
Elon Musk's growing proximity tofederal infrastructure planning
(03:40):
has raised questions about conflicts of interest.
Musk leads six companies, including Tesla, SpaceX,
Neurolink, XAI, Twitter X and the Boring Company.
He also chairs the Department ofGovernment Efficiency DIOG, an
informal advisory group formed under the Trump administration
to cut federal spending. Musk's influence over government
(04:02):
decisions has already triggered scrutiny.
In March, President Trump featured Tesla cars on the White
House lawn as part of a push forelectric vehicle adoption.
Around the same time, federal officials advocated for broader
deployment of Starlink, Musk's satellite Internet venture under
SpaceX, in government operations.
Musk has also publicly criticized Amtrak, calling it
(04:24):
inefficient and suggesting that it be privatized.
At a bankers conference in March, he warned foreign
visitors not to use the US rail service because it would give
them a negative impression of America.
This speech came just weeks before the Department of
Transportation met with his tunneling company.
In a separate effort, Musk pushed the FAA to cancel a
multibillion dollar contract with Verizon for air traffic
(04:46):
control upgrades. He argued that Starlink could
provide a better alternative. Shortly after a January crash
involving an Army helicopter anda commercial plane, SpaceX
employees were brought into FAA's air traffic headquarters
to consult on safety improvements.
Musk has made similar promises before.
In 2017, he claimed on Twitter that he had verbal government
(05:07):
approval to build a Hyperloop between New York, Philadelphia,
Baltimore and Washington, Washington.
He said it would move passengersbetween New York and DC in under
30 minutes. That project never advanced past
early paperwork and vanished from his company's websites by
2021. The Boring Company also once
proposed a 35 mile underground car tunnel between Baltimore and
(05:28):
Washington. Musk's team claimed it could
complete that work in two years.That proposal also disappeared,
with no updates or construction ever occurring.
The company's leader, Steve Davis, has worked closely with
Musk to implement the cost cutting directives at DOGE.
Davis has no background in transportation engineering but
has long been part of Musk SCOREteam.
(05:49):
Musk named him CEO of The BoringCompany in 2018 and tasked him
with accelerating progress on the company's stalled projects.
Musk has grown frustrated with Davis's lack of results,
according to people familiar with internal discussions.
Although Davis has defended his efforts, saying his government
work is driven by a desire to reduce waste, critics argue that
(06:09):
he lacks the technical experience to lead national
scale transportation efforts. He declined to comment for this
story. The cost overrun on the
Frederick Douglass Tunnel has triggered national attention.
Republican lawmakers, including Senator Ted Cruz and Vice
President JD Vance, have accusedthe government of directing
disproportionate funds toward northeastern infrastructure.
(06:31):
They argue that southern and western states receive far less
support for their transportationneeds.
The tunnel itself remains A vital component of national
travel. Thousands of trains run through
the existing structure each year.
Despite the tunnels outdated design and poor condition.
Engineers have warned for years that its failure could lead to
(06:51):
major service disruptions from Boston to Virginia.
Despite the Boring Company's lack of completed US projects,
it's low cost tunneling methods continue to attract interest.
The company raised over $900 million in venture capital and
completed a short tunnel under the Las Vegas Convention Center,
but failed to scale that model elsewhere.
(07:12):
Its other proposals, including citywide systems in Chicago and
Los Angeles, stalled or disappeared entirely.
This renewed interest in Musk's tunneling company comes at a
moment when federal infrastructure projects are
under enormous pressure. Inflation and labor shortages
have driven up costs nationwide.Rail and Hwy. projects across
the country face delays, redesigns or cancellations.
(07:35):
Due to funding constraints, the Department of Transportation has
not committed to awarding any new contracts to Musk's firm.
It is still reviewing the results of its consultations
with The Boring Company and other engineers.
Any future agreements would require approval from Amtrak and
likely congressional oversight, given the size of the federal
investment. The Frederick Douglass Tunnel is
(07:57):
currently projected to finish by2035.
That timeline could change if new contractors are brought in
or if major engineering decisions are reversed.
For now, Amtrak continues with the current plan while federal
officials consider alternatives.The growing overlap between
Musk's companies and federal infrastructure is already
reshaping policy decisions. Whether or not the Boring
(08:19):
Company takes over the FrederickDouglass Tunnel, Musk's
influence on the direction and cost of American transportation
is expanding. As his business has become more
embedded in federal decisions, the separation between private
innovation and public service continues to shrink.
The government is weighing whether Elon Musk's tunnel
company can save billions on a failing Amtrak project or
(08:42):
whether it adds more risks than rewards.
I want to say thank you so much for tuning into the show today.
I really do appreciate. Your support, if you could take
a second and hit the subscribe or the follow button on whatever
podcast platform that you're listening on.
Right now I. Greatly appreciate it, it helps
out the show tremendously and you'll never miss an episode.
(09:02):
And each episode is about 10 minutes or less to get you
caught up quickly. And please, if you want to
support the show even more, go to patreon.com/stagezero and
please take care of yourselves and each other and I'll see you
tomorrow.
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