China may help Elon Musk's Hyperloop system become a reality.
The country's biggest railway equipment manufacturer, CRRC, is reportedly looking to invest in a company developing the Hyperloop commercially.
According to a Bloomberg report, the LA-based start-up Hyperloop Technologies is in initial talks with CRRC about collaboration and investment.
Tech Insider reached out to Hyperloop Technologies and will update if we hear back. But according to the report, the state-owned trainmaker is looking to double its international sales over the next five years. So it's possible it is exploring the Hyperloop system as a way to grow its offerings.
The Hyperloop is a futuristic transport system that carries passengers in capsules at speeds reaching more than 500 miles per hour. Musk first proposed the idea back in 2013 in a white paper and since then several companies have launched aiming to bring the concept to life.
Hyperloop Technologies and Hyperloop Transportation Technologies are the two primary start-ups involved in developing the technology.
Both companies are planning to build Hyperloop test tracks in the US this year. But there is a good chance that both start-ups would look outside the US to develop any full scale Hyperloop system. This is because its easier to get access to secure land to build a large system in other countries.
In July 2015, Dirk Ahlborn, CEO of HTT, told Tech Insider that after the company finished its five-miles test track in Quay Valley, California, it would likely grow its business overseas, developing a system in Asia or the Middle East.
And in October, Peter Diamadis, a board member for Hyperloop Technologies, said during a presentation in Dubai that the company could have a fully operational Hyperloop system built in the United Arab Emirates by 2020.
According to a Moscow Times report published Thursday, both companies may also be looking to Russia to develop a full-scale system.
Musk, on the other hand, has no plans to develop the Hyperloop commercially.
However, he is showing his support for the work being done by having SpaceX host a Hyperloop Pod design contest for students.
The first round of the contest kicks off on Friday and selected participants will get to move on to the final round of the competition, which is slated to take place in June.
Students will get to try out their pod designs on a one-mile test track that is set to be built near the SpaceX headquarters in Hawthorne, Calif.
While SpaceX is not affiliated with any start-up developing the system commercially, Hyperloop Technologies is a big sponsor for the student competition and will help fund selected teams so that they can build their pod designs.
