This article first appeared on GuruFocus.
Tesla (NASDAQ:TSLA) could soon find itself at the center of Dubai’s next big transportation experiment. In what may become the Boring Company’s most ambitious project yet, the UAE’s Minister for Artificial Intelligence, Omar Al Olama, said the first phase of the Dubai Loop is expected to go live by the second quarter of 2026. The 17-kilometer system, designed to carry up to 20,000 passengers an hour, is part of Dubai’s broader push to reinvent urban mobilitypairing Musk’s tunneling vision with the city’s obsession for futuristic infrastructure, from air taxis to AI-powered traffic systems.
For Musk, the Dubai Loop could be a proving ground. The Boring Company’s only operational system so far runs in Las Vegas, where Tesla vehicles drive passengers through short underground tunnels. It’s not yet known whether Dubai’s version will also rely on Tesla cars or switch to autonomous pods, but either way, the project could give Musk’s tunneling venture new global credibility after years of mixed progress. The company’s lead architect departed in September, adding uncertainty to execution timelines, yet Dubai’s willingness to bet on bold tech concepts could provide the right environment for Musk’s latest gamble.
At the same time, the UAE is accelerating its own AI playbook. Al Olama confirmed that the country expects to receive its first shipment of Nvidia’s advanced AI chips before the end of the yearchips that could help power OpenAI’s Stargate project, a five-gigawatt data-center partnership with Oracle and others. U.S. officials recently cleared billions of dollars’ worth of chip exports for American firms operating in the Emirates, potentially positioning the UAE as one of the most active global hubs for AI infrastructure and advanced computing.
