Virgin Hyperloop fires 111 employees-nearly half its staff to focus on cargo transport

The American transportation technology company Virgin Hyperloop whose main aim was building a seamless mass travel service has reportedly fired more than a hundred staff, after it abandoned the idea of making its system ready for passenger use. According to a report by Engadget, the company is now focusing on moving cargo and cited it as the main reason behind firing a major workforce. The reports claimed as many as 111 employees were laid off-- nearly half of its team members. As per the reports, the company announced the decision on a video call. Meanwhile, responding to the media reports, a spokesperson confirmed Financial Times that the shift in business was taking place, with supply chain issues and COVID contributing to the change.

Notably, the main aim of the high-speed technology concept is to build a transportation system that could run-up to a speed of more than 1,200 km/hr. It is based on Hyperloop technology, a variant of the vacuum train. Initially, it was projected to carry both passengers and freight. In a statement, the company said it has decided to change the concept in order to meet the demand for cargo-based service. As per Virgin Hyperloop, the logistics market had changed “dramatically” after the COVID-19 pandemic.

Watch the video of how passengers could travel at the speed of 670 miles per hour

It is worth mentioning the shocking development came nearly six months after former head Josh Giegel, one of two people to actually travel in a pod, who quit the company had shared a video explaining how the hyperloop works. Explaining this new form of mass transportation, the company had claimed it was expected to set the standard for the 21st century by travel, and it would help in connecting cities in minutes. The company explained that the design of this transport system features a series of pods that comes with a near-vacuum environment inside. It further said that these battery-powered pods will glide at 670 mph (1078 kmph).
It is worth mentioning here that the US transportation technology company's 670 mph target was said to be three times faster than high-speed trains and ten times faster than traditional trains. Earlier, the company had also tested human travel in a high-speed levitating pod system. The passengers had taken a ride at Virgin Hyperloop’s 500-metre test site in Las Vegas.

Image: Twitter/@virginhyperloop