Hyperloop One, which dreamed of building ultra-fast transportation lines using hyperloop technology, will close at the end of 2023. The company had raised hundreds of millions of dollars, but had not signed no project.
The dream of a hyperloop is moving a little further away: Hyperloop One, formerly known as Virgin Hyperloop One, is closing down. Bloomberg reported the news on December 21, 2023, citing sources inside the company. Hyperloop management has reportedly announced to employees that their contracts will end on December 31, 2023, putting an end to almost 10 years of experimentation.
The hyperloop, a futuristic and revolutionary transport project, was to make it possible to transport passengers and goods very quickly in capsules, launched at very high speed through low-pressure tubes using propulsion by magnetic field. The idea, formulated in 2013 by Elon Musk, excited the world, and many companies launched it, with the objective of building viable hyperloops. With the end of Hyperloop One, such a plan now seems difficult to achieve.
The difficulties of Hyperloop One
Hyperloop One, created in 2014, managed to raise $450 million for its various hyperloop projects – including a freight route that would have connected China to Europe in one day. However, the company has encountered many difficulties over the years. The tests never succeeded in reaching the expected speed, reaching a maximum of only 160 km/h, compared to the 1200 km/h announced.
In addition to technological failure, the company became known for the wrong reasons. One of Hyperloop’s co-founders, Brogan BamBrogan, reportedly found a noose-shaped rope in his office chair one day, and the other founder, Shervin Pishevar, is accused of sexual harassment. Finally, a former director of Hyperloop One, Ziyavudin Magomedov, was arrested in Moscow after being accused of embezzlement, recalls Bloomberg.
Virgin, which had invested heavily in the company, also parted ways with Hyperloop in February 2022 — the company had just announced that it would focus on transporting freight, not passengers. Virgin’s departure certainly dealt a fatal blow to Hyperloop One, which had never managed to sign contracts, according to Bloomberg. The liquidation of the company’s holdings is reportedly underway.
Part of Hyperloop should nevertheless survive. DP World, a port operator owned by the Dubai government, still owns the majority of the company’s shares, and will therefore receive intellectual property rights, particularly regarding their advancements.
Hyperloop One was the most advanced and most publicized company in the hyperloop sector, but its bankruptcy does not mean the total abandonment of the project. “ Several hyperloop companies are in various stages of building prototypes, including Hardt Hyperloop, Hyperloop Transportation Technologies, and Swisspod Technologies », recalls Bloomberg.
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