Tunnel Boring Company to Gigafactory Nevada: Fact or Fiction?

The I-80 between Reno and Sparks has become a daily nightmare for the thousands of employees commuting to the Tahoe-Reno Industrial Center. In October 2024, EDAWN decided to make a significant move: allocating $50,000 to fund a feasibility study commissioned to The Boring Company.

The project? Digging a 14.5 km tunnel to ease traffic on this congested highway stretch. But between the announcement and reality, there’s a world of unknowns: actual cost, technology used, timeline… All these questions remain without clear answers.

Let’s break down this very early-stage project together, which could radically transform the daily commutes of 22,000 employees.

A Tunnel Under I-80: Nevada’s Boldly Funded Idea

In October 2024, the Economic Development Authority of Western Nevada (EDAWN) invested $50,000 for a feasibility study commissioned to The Boring Company. The objective? To evaluate the possibility of digging a tunnel under the 9 miles of I-80 highway separating Reno from the Tahoe-Reno Industrial Center.

This stretch has become a true logistical nightmare for businesses located in the area. With 22,000 employees using this road daily, traffic jams and accidents are increasing.

The Boring Company, already sought for its expertise, as I tested with the Cybertruck in the Vegas tunnels, seemed to be the logical choice to lead this assessment. Their experience with the Vegas Loop serves as a reference, even if it’s only at the exploratory stage.

But keep in mind: $50,000 is just the price of the study, not the start of construction. We are still a long way from any groundbreaking.

Why I-80 Has Become a Real Nightmare

If you make this commute daily, you know the hassle. The numbers speak for themselves: traffic has literally doubled between January and July 2025 during peak hours.

But that’s not all. The most alarming statistic? 1 accident every 2 days on this stretch. It has become a real public safety issue, not just a matter of comfort.

The massive influx is due to the recent installation of data centers and tech companies in the Tahoe-Reno Industrial Center, which spans over 107,000 acres. It’s a true industrial city that has emerged in just a few years.

The result? Longer commutes, daily stress for employees, and productivity taking a hit. Not to mention the safety risks for the thousands of people who use this road every day.

Tesla and Panasonic: The Giants That Hold Significant Sway

Let’s talk numbers: 8,000 Tesla employees plus 4,000 Panasonic employees, that’s 12,000 people directly affected by this project. Gigafactory Nevada alone accounts for more than half of the industrial park’s workers.

Tesla has every interest in ensuring its employees arrive on time and safely. That’s why contacts have been made with the Nevada governor’s office to speed up the discussion.

But here’s the interesting paradox: Tesla and Panasonic ALSO support the competing rail study. Their strategic position is clear: whatever solution is chosen, as long as it works and solves the congestion problem.

This apparent neutrality primarily shows the urgency of the situation. Industrial giants can no longer afford to wait without acting.

The Gray Areas Surrounding This Tunnel Project

How Much Would It Really Cost?

No public cost estimate for now. This is one of the main unknowns of the project. To give you an idea, one would have to compare it with the per-kilometer costs of the Vegas Loop, but even that reference remains approximate.

Remember: the $50,000 allocated are only used to fund the feasibility study, not to start construction. We’re probably talking tens, even hundreds of millions of dollars for the actual construction.

What Technology Would Be Used?

The most probable hypothesis? Autonomous Teslas circulating in the tunnel, exactly like the Vegas Loop already serving as an operational reference. But the exact length of the tunnel has never been officially confirmed.

To transport 22,000 employees per day, a considerable transport capacity would be needed. How many vehicles? What frequency? How many entry and exit points?

Technical questions are piling up: ventilation, fire safety, flow management… So many subjects on which The Boring Company remains silent for now.

The very status of the feasibility study remains unclear. Is it finished? Ongoing? No official communication has been made since the funding announcement. Many questions remain unanswered, and that’s normal at this early stage of the project.

Tunnel vs. Commuter Train: Two Clashing Visions

An alternative project exists: a train line using the existing rail network. This option has its own advantages.

The train benefits from existing infrastructure, which could significantly reduce costs. No need to dig kilometers of tunnel, just to set up stations and organize traffic.

But the tunnel also has its advantages: flexible commutes, door-to-door service, a futuristic image that aligns well with the region’s technological DNA. And above all, a solution that could be faster to implement if the study proves positive.

Bill Thomas, from RTC Washoe County, summarized the authorities’ position well: all options must be evaluated pragmatically before making a decision. Both projects have their merits. The important thing is to act quickly in the face of a deteriorating situation.

According to transportation industry experts, this type of decision must consider economic, environmental, and social criteria to ensure a sustainable solution.

Let’s be honest: this project remains very early-stage, and many uncertainties still remain. But the main thing is this: the safety problem on I-80 is real and urgent.

If The Boring Company‘s tunnel materializes, it would be a great step forward for the thousands of employees at Gigafactory Nevada and other companies in the park. I will closely follow this development in the coming months.

And you, would you prefer a futuristic tunnel or a good old reliable commuter train?