High-speed rail technology startup Arrivo, currently building hyperloop systems for cars, has announced a $1 billion deal with Chinese global Fortune 500 firm Genertec America. The agreement will provide a line of credit to fund a project that will use Arrivo's novel products to combat traffic.
Today we are excited to announce $1B of project financing made available to any region in the world. https://t.co/PHWKN27SaF— Arrivo (@ArrivoLoop) July 19, 2018
A technology ever increasing in demand
"The demand for urban mobility is increasing, and technologies such as autonomous vehicles will only increase demand," said in a company statement Arrivo CEO and founder Brogan BamBrogan. The announcement did not discuss where exactly the funding would be allocated but it indicated that support could be provided to any project in the world using the startup's innovative technology.
"The Genertec Group has become a global leader in developing, financing, and constructing innovative transportation, energy, and infrastructure projects. This partnership will provide project owners – public or private, domestic or international – an available source of financing to fund construction and purchase of Arrivo products," explained Andrew Liu, President of Arrivo.
The company's unique high-speed for cars model centers around the use of vehicle-carrying open sleds operating on a magnetized track. However, since the system is not designed to operate in a vacuum, Arrivo offers speeds of only about 200 mph.
That amount is still 10 times faster than ordinary cars but significantly slower than the 700+ mph offered by competitors. Arrivo's technology does compensate for its lower speeds with financial, safety and geographical benefits.
Its open track model makes it easier to tackle emergencies securely and its tracks can be built along existing transportation lines reducing costs. "Arrivo provides a unique solution for regional mobility and a great complement to high speed rail and airports," said Yalin Li, President of Genertec America.
Arrivo's founder BamBrogan was originally a SpaceX engineer responsible for US-based high-speed transportation firm Hyperloop One. He was bitterly kicked out of the now Virgin-led startup in a contentious legal battle and went on to launch Arrivo.
Denver's first-ever high-speed Super Urban Network
Last year, the startup signed a public-private partnership with the Colorado Department of Transportation to build the first-ever high-speed Super Urban Network for the greater Denver region.
"Denver is a perfect place to both develop and debut our technology in a system where everyone wins. Passengers will move seamlessly and directly to their destinations, while the region will benefit from greater mobility and the elimination of traffic, unlocking even more robust growth and economic fire power for residents and businesses," had said in a statement Bambrogan.
Arrivo also based their test facilities in the area, a move that was said to potentially create up to 200 jobs by 2020 and $10 – 15 million of profit for the local economy in 2018. It seems BramBrogan's new venture is doing well.
Via: PR Newswire