The project plans to conduct a full scale demo at a 3 kilometer test track in a firm house near Las Vegas. Literally, the hyperloop project is being implemented, reports National Geographic quoting Rob Lloyd, CEO of Hyperloop Technologies Inc.

John Mayo, project manager of the MIT Hyperloop Team considers the project as a viable system, though initially remained skeptical. After figuring out the workable ways by the engineers, developing a commercially viable version and getting government approval, appear as the real challenges, forecasts Mayo.

The California High-Speed Rail Authority has released a draft proposal earlier this year for a 400 mile rail circuit. The rail will be capable of achieving maximum speed of 220 MPH. The project requires $82.5 million for building every mile of rail track. In contrast, the hyperloop project has gauged at $20 million for every mile of hyperloop.

Sonic tubular travel is expected to slash commuting time between two cities, forecasts Lloyd, a former Cisco executive. The California startup has employed big talents including Brogan BamBrogan, former SpaceX engineer, Jim Messina, manager of President Barack Obama's 2012 election campaigns.

The big names also include David Sacks, experienced in working under Musk at Paypal and Shervin Pishevar, an investor in ride sharing company, Uber. Pishever has reportedly prodded Musk to go public with his hyperloop idea.