The high-speed transportation firm is shutting down Hyperloop One, however, citing the company’s failure to secure any contracts that would allow it to build a functioning Hyperloop system. The Los Angeles-based firm launched the world’s first-ever ride on a super high-speed levitating pod system in 2020.
The closure of Hyperloop One could also be a major blow to Hyperloop technology, as Elon Musk’s idea for the company was intended to dramatically cut travel times. Hyperloop One which is a system that uses magnetic levitation to carry passengers and cargo in the air.
Reason for closure of Hyperloop One
Hyperloop One, founded in 2014, has raised more than $400 million, primarily from UAE shipping company DP World and British billionaire Richard Branson.
The company also built a prototype Hyperloop system, also known as System F, in the Nevada desert in 2020. The System F reached a top speed of 107mph (172km/h) in a 546yds (500m) test run.
It was decided to cease operations regarding Hyperloop One because they were not receiving sufficient investment. Meanwhile, the reason for its closure has also been the company facing engineering challenges, security concerns and financial problems. Subsequently, in 2022, the company made some changes in its strategy and said that it will focus more on cargo transportation instead of people.
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The biggest change came with the loss of more than 100 jobs, followed by more job cuts later in the year. By the end of that year, the company’s chairman was Richard Branson, who was on his way out and the company had lost Virgin’s support.
In 2023, the company announced that Hyperloop One was being shut down, indicating that Hyperloop One was still under development. Many people are raising questions about the demise of Hyperloop One, with other companies, such as The Boring Company and Whispering Galaxy, still working on developing the Hyperloop system.
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Hyperloop technology has faced, and will continue to face, many challenges, including safety, cost, and environmental impact. If it can overcome these challenges, Hyperloop One can be more efficient and economical in traveling long distances.
How does Elon Musk work in 2013 with a modern hyperloop system? More information was promoted which got many people interested. Elon Musk’s own tunneling venture, The Boring Company, wants to send passengers packed in pods through a giant, intercity system of underground vacuum tubes known as the Hyperloop.