Once buzzy startup Hyperloop One to shutter after its sci-fi transit project failed to get much momentum

Once a high-profile startup, Hyperloop One raised more than $450 million since its founding in 2014, according to PitchBook. It built a small test track near Las Vegas to develop its transportation technology, and for a time took the name Virgin Hyperloop One after Richard Branson’s Virgin invested. Virgin removed its branding after the startup decided last year to focus on cargo rather than people.

Now, the company has laid off most of its employees, and is trying to sell its remaining assets, including the test track and machinery, according to one of the people, who asked to remain anonymous discussing private information. In early 2022, the company employed more than 200 people. The business has also closed its Los Angeles office. The remaining workers, tasked with overseeing the asset sale, were told their employment will end on Dec. 31. 

DP World, the Dubai-based conglomerate, has backed Hyperloop One since 2016 and owns a majority stake. The startup’s remaining intellectual property will be transferred to DP World, a person familiar with the situation said.

Through a spokesman, DP World declined to comment. Raja Narayanan, Hyperloop One’s acting chief executive officer, also didn’t respond to requests for comment. 

Hyperloop One, formally known as Hyperloop Technologies, merged with a shell company this April, according to a document reviewed by Bloomberg. At that time, the value of shares in most classes was written down to zero cents, and the shareholders of the shell company became the only owners of Hyperloop One. At an all-hands meeting, employees were told that DP World orchestrated the transaction, according to one of the people.

The company had captured the public’s imagination since its…