There’s a public dimension to this. Cities control large developments within their borders, with good reason. The Westside of Los Angeles is known to be geologically difficult to tunnel, which is part of the reason that the “Subway to the Sea” in LA has been so long in coming. Part of what Musk demands with his projects is significantly lower government regulation and oversight. Yet these are things that governments do to level the playing field and keep its citizens safe — some of the basic functions of government.
As a transit advocate, I am also concerned at Musk’s company crowding out sorely needed investments in transit infrastructure — especially given that his tunnels just won’t move enough people to make a real difference. (sorry, just the math is against Musk). Look to the peoplemover project Musk won in Chicago: https://www.chicagotribune.com/business/ct-biz-ohare-tunnel-elon-musk-boring-20181212-story.html not encouraging.