Virgin Hyperloop One and Dubai based DP World have announced plans for a Hyperloop cargo system called Cargospeed that is set to revolutionise cargo transport. It aims to use the technology to “support the fast, sustainable and efficient delivery of palletized cargo”.

Virgin Hyperloop One is one of a loose, patent sharing coalition of businesses that uses Hyperloop technology that essentially fires pods (eventually of people but also cargo) through a low pressure steel tube at projected speeds of 1000km/h.

In a statement issued yesterday, Virgin Hyperloop One said: “Designed to provide exceptional service for high-priority, on-demand goods, DP World Cargospeed systems will deliver freight at the speed of flight and closer to the cost of trucking.” The cost is projected to be 1.5 times the cost of a truckload but in the region of 10 times the speed from end to end, and could be even quicker than airlines due to the lack of bureaucracy.

The company explained that the service was being developed in response to the growth of global e-commerce and the need for on-demand deliveries: “E-commerce has shifted the expectations of consumers and businesses regarding the speed of shipping. Today, on-demand deliveries are a competitive advantage. Tomorrow, they will be the ubiquitous.”

Virgin Hyperloop One have run successful tests of their system at speeds of up to 250km/h and now another Hyperloop company – Hyperloop Transportation Technologies (HyperloopTT) – announced that it has begun construction on its first full-scale transportation system in Toulouse, France.