Elon Musk, the brain behind Tesla, SolarCity, and SpaceX, has previously presented what he calls the fifth mode of transport - the Hyperloop.   

Gizmag explains Hyperloop well in a recent article. With a speed reaching up to 760 miles per hour, it can travel from Los Angeles to San Francisco in just 30 minutes. It will never crash and is also immune to weather disturbance.

Described as a pneumatic transport system (PTS), this futuristic vehicle is an amalgamation of a Concorde, a railgun, and an air hockey. It utilizes a closed tube looping between two points. Traversing through it are capsules, which seat people or hold cargo, moving at over 600 miles per hour. The tube is supplied with air moving at the same speed, creating minimal drag. To significantly reduce friction, the inner walls of the tube are perforated and through them, high-pressure air will be released, acting as the capsules' jets and cushions that will prevent collisions.

Right now, Hyperloop is still very much a concept on paper. To help accelerate the development of a fully-functional prototype by private organizations that have picked up the project, however, SpaceX has initiated a design and build contest. A one-mile track will be constructed near the company's California headquarters by 2016, and it is where competitors will be able to test their life-size pods. Currently, 700 applications have been received.

Hyperloop Companies Step Up Their Game

At the same time, two companies, using the open-source Hyperloop data, have stepped forward to make Musk's vision of a futuristic transport system a reality.

Business Insider noted that both Hyperloop Technologies, founded by Silicon Valley capitalist Shervin Pishevar, and Hyperloop Transportation Technologies (HTT), headed by German entrepreneur Dirk Ahlborn, are in the process of developing beta systems for the technology.

Hyperloop Technologies are currently hiring engineers and technicians to expand its 30-man team. Aiming for $80 million funding by the end of the year, it has since accumulated $10 million worth of investments.

On the other hand, HTT is recruiting talents with the promise of company shares, should it reach a point where it is able to start an IPO. It has been donated land in Quay Valley where the company can build a prototype spanning five miles and running alongside the Interstate 5 Freeway. It has also been in talks with the United Arab Emirates royal family for using Dubai as its first hyperloop base.