Author: The New Economy

Novartis to acquire gene therapy specialist AveXis for $8.7bn

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On April 9, Swiss pharmaceutical giant Novartis announced it had entered into an agreement to buy American gene therapy company AveXis for $8.7bn. The acquisition comes as Novartis looks to become a leader in gene therapy treatments for chronic illnesses.

The deal was unanimously approved by both boards and comes as AveXis conducts a number of clinical studies for its breakthrough treatments for deadly degenerative disorders.

AveXis’ flagship candidate product, AVXS-101, is designed to treat spinal muscular atrophy (SMA), a severe neuromuscular disease that leads to muscle weakness and eventual paralysis. SMA is a leading genetic cause of death in children under the age of two.

“The proposed acquisition of AveXis offers an extraordinary opportunity to transform the care of SMA,” said Novartis CEO Vasant Narasimhan in a statement.

The acquisition comes as Novartis looks to become a leader in gene therapy treatments for chronic illnesses

“We believe AVXS-101 could create a lifetime of possibilities for the children and families impacted by this devastating condition. The acquisition would also accelerate our strategy to pursue high-efficacy, first-in-class therapies and broaden our leadership in neuroscience.

“We would gain with the team at AveXis another gene therapy platform, in addition to our CAR-T platform for cancer, to advance a growing pipeline of gene therapies across therapeutic areas.”

Novartis recently sold its stake in a joint consumer healthcare enterprise with GlaxoSmithKline, generating $13bn in revenue and putting the company in a strong financial position to acquire AveXis.

The deal represents the second major gene therapy move Novartis has made this year; in January, the company entered into a licensing agreement with Spark Therapeutics to develop and commercialise treatments for vision loss outside the US.

The purchase of AveXis puts Novartis in a strong strategic position as rivals continue to make significant investments into specialist-care medicine. New Jersey-based biopharmaceutical company Celgene acquired cellular immunotherapy specialist Juno Therapeutics in January, and France’s Sanofi bought haemophilia treatment company Bioverativ in March.

Uber death could cause backlash for the autonomous vehicle industry

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The fatal collision involving an autonomous Uber vehicle and pedestrian Elaine Herzberg in Tempe, Arizona, will surely have profound implications for self-driving technology all over the world. Although it’s not the first accident involving a driverless car, it’s certainly the most high profile, and will prompt regulators – as well as members of the public – to reconsider the reliability and safety of autonomous vehicles.

According to preliminary investigations, the incident in Arizona would have been difficult to avoid even if the vehicle was being driven manually. Certainly, the safety driver, who was behind the wheel at the time of the collision, was unable to react in time. Initial reports indicate Uber is unlikely to be at fault, but such details will not placate detractors of self-driving technology. The fact remains that an autonomous vehicle has caused the death of a pedestrian for the first time.

There is a feeling that private businesses are pushing ahead with public testing ahead of time because self-driving technology could prove incredibly lucrative

It is highly likely that regulators and autonomous technology providers will be forced to rethink their plans. Although self-driving cars are already on the roads in many parts of the US, China, Japan, Germany and in many other countries, governments may subject future self-driving proposals to closer scrutiny. The state of California recently approved the public testing of autonomous cars without safety drivers behind the wheel, with trials expected to begin as early as next month. Recent events make the plausibility of such a schedule highly questionable.

There is a feeling that private businesses are pushing ahead with public testing ahead of time because self-driving technology could prove incredibly lucrative. Traditional automobile firms like Volkswagen and BMW are investing heavily in the field, while the public transport and taxi industries would do well to prepare for the huge disruption coming their way. In the case of Uber, autonomous vehicles might actually be needed in order to transform their loss-making operation into a profitable one.

Aside from raising the regulatory barrier, the recent tragedy also damages the perception of self-driving cars in the eyes of the public. A survey issued last year by the American Automobile Association found that three-quarters of US drivers were afraid of riding in an autonomous vehicle. This figure would, no doubt, be higher now.

The incident involving the Uber vehicle and Ms Herzberg reminds us that innovation is fraught with pitfalls. For autonomous vehicle manufacturers, it should serve as a wake-up call; a reminder that AI remains in its early stages and cannot be unleashed on public roads before it is ready.

Although taking things slowly is difficult in what is becoming an increasingly competitive space, the alternative is far worse. Doing too much, too soon, not only risks a repeat of the tragedy that took place in Tempe, but could also create a backlash that derails self-driving technology before it has had a chance to fully mature.

L’Oréal buys Canadian AR firm ModiFace

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On March 16, L’Oréal announced the acquisition of ModiFace, a Canada-based augmented reality (AR) and AI firm specialising in the beauty sector. The purchase comes as part of L’Oréal’s digital acceleration strategy, which aims to integrate innovative technology into the customer experience.

“ModiFace will support the reinvention of the beauty experience around innovative services to help our customers discover, try and choose products and brands,” said Lubomira Rochet, Chief Digital Officer at L’Oréal, in a statement.

“We at L’Oréal and ModiFace want to pioneer this new page of the beauty industry and serve our customers with innovative services and experiences.”

Augmented reality works as a powerful selling tool because it enables customers to quickly cycle through different options with minimal hassle

ModiFace has been riding a wave of increasing popularity for its AR products in the beauty industry. From phone apps and e-commerce modules to in-store ‘magic mirror’ displays, brands are using ModiFace to allow customers to try products without having to actually apply them.

AR works as a powerful selling tool because it enables customers to quickly cycle through different options with minimal hassle. The firm uses facial recognition software to overlay virtual makeup onto a customer’s face in real time. L’Oréal’s rival conglomerate, Estée Lauder, uses ModiFace across all its brands.

As of last year, ModiFace was providing its technology to 84 brands around the world, fetching between $200,000 and $500,000 annually from each. ModiFace has stood out from competitors by developing its technology across multiple platforms, rather than just sticking to one or two.

However, this is not L’Oréal’s first foray into AR: last year, the beauty giant, which owns brands Maybelline, Urban Decay and Yves Saint Laurent, teamed up with YouCam Makeup to integrate its makeup collections into the AR phone app.

The purchase of ModiFace also comes as part of L’Oréal’s aggressive digital strategy, which, in 2016, saw a 31.9 percent increase in digital spending and led to a partnership with Founders Factory, a London-based incubator for start-ups.

Stephen Hawking, renowned scientist and author, dies aged 76

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Stephen Hawking, the influential cosmologist and author, passed away during the early hours of March 14, aged 76. Hawking became an inspirational figure for millions, not only as a result of his scientific work but also through his determination and humour in the face of adversity.

Hawking was diagnosed with motor neurone disease aged just 21, while completing his post-graduate studies at Cambridge University. Doctors only expected him to live for a further two years.

Although living under the spectre of a terminal illness initially threw the young scientist into a depression, Hawking ultimately made a mockery of the prognosis, living another five decades and achieving more than most people could ever dream of.

Hawking refused to be held back by his illness, choosing to focus on what he could do, rather than what he couldn’t. When he could no longer write, he began visualising calculations entirely in his head. When he could no longer speak, he started using a voice synthesiser program to communicate with the outside world. As his paralysis progressed, he would move a single cheek muscle to select the words and phrases he needed.

It is Hawking’s intellectual strength, rather than his physical limitations, that should serve as the focal point of any retrospective of his life

Although it’s undeniable that Hawking’s condition helped to make him one of the most famous scientists in the world, it is his intellectual strength, rather than his physical limitations, that should serve as the focal point of any retrospective of his life.

His work with fellow physicist Roger Penrose on gravitational singularity brought him early acclaim, while his theoretical predictions regarding Hawking radiation represented a breakthrough moment in our understanding of black holes.

Despite the complexity of his work, Hawking’s ability to simplify even the most abstract concepts – often with the help of his famous wit – made him a household name. In 1988, he released A Brief History of Time: From the Big Bang to Black Holes, a popular-science book he hoped would bring cosmology to a wider audience. In the end, the title sold more than 10 million copies worldwide, was on the Sunday Times best-seller list for a record-breaking 237 weeks and was translated into 35 languages.

In later life, Hawking gained newfound fame, appearing in Star Trek: The Next Generation, The Simpsons and The Big Bang Theory, as well as being depicted by both Benedict Cumberbatch and Eddie Redmayne on the silver screen. Hawking was also something of a practical joker, as comfortable delivering razor-sharp one liners when talking with members of the public, celebrities or heads of state.

When Hawking spoke of death, he did so with the calm rationale that one would expect of a scientist, describing the brain “as a computer that will stop working when its components fail”. But when he spoke of the wonders of the universe, he did so with passionate zeal and a unique genius that influenced academics and everyday people alike. It is for this reason that Hawking’s work and life will continue to stand as an inspiration for so many.

Volkswagen intensifies electric vehicle plans with production drive

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On March 13, the Volkswagen Group announced it would be making an even more aggressive push into the electric vehicle (EV) space, with CEO Matthias Müller revealing the group intends to roll out a new EV “virtually every month” from next year.

Speaking at the company’s annual media conference in Berlin, Müller said: “This is how we intend to offer the largest fleet of electric vehicles in the world, across all brands and regions, in just a few years.”

The Volkswagen Group – which owns brands Audi, Porsche and Bentley, among others – currently dedicates three of its factories to producing a limited portfolio of EVs. However, under the group’s new directive, this number is set to quadruple within just two years, as Volkswagen seeks to extend EV production to 16 of its factories by the end of 2022.

The plan to ramp up production builds on Volkswagen’s ‘Roadmap E‘ initiative, which promises to bring 80 new electric vehicles to market by 2025

The plan builds on Volkswagen’s ‘Roadmap E‘ initiative, which was launched last September and promises to bring 80 new EVs to market by 2025, when the group also expects to have the capacity to produce three million EVs annually.

Volkswagen has already awarded contracts worth €20bn ($24.6bn) to battery manufacturers in Europe and China, and plans to purchase around €50bn ($61.6bn) of EV batteries in total. The company has also revealed it is still looking for a battery supplier in North America.

This ambitious electric strategy stands in sharp contrast to Volkswagen’s 2015 emissions scandal, wherein the company’s diesel vehicles were found to have ‘defeat devices’ installed to cheat emissions tests.

At the conference, Volkswagen Group CFO Frank Witter also announced a record €230.7bn ($284.4bn) in revenue, with year-on-year decreases for Volkswagen and Bentley more than made up for by increases across other brands in the portfolio.

The Volkswagen Group has seen significant advancement in its futuristic electric car concepts over the past few years, with new models, such as Bentley’s EXP 12 Speed 6e, Audi’s stylish e-tron quattro and Volkswagen’s ID Vizzion, demonstrating the group’s commitment to its new, forward-looking strategy.

E.ON and RWE shake up Germany’s energy sector with asset swap agreement

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On March 11, German utility firm E.ON announced it had reached an agreement in principle to acquire innogy from rival RWE. The deal, which values innogy’s equity at €22bn ($27.1bn), will also see a series of asset swaps take place between the two companies.

As part of the transaction, E.ON will acquire RWE’s 76.8 percent stake in innogy, while granting RWE a 16.67 percent stake in E.ON. It will also result in E.ON becoming solely focused on customer solutions and energy networks, with RWE acquiring E.ON’s renewable energy assets.

By bolstering its network infrastructure, E.ON should be able to generate substantial cost savings, while RWE will be able to ramp up its solar and wind offerings

Should the prospective deal go ahead – the acquisition still needs to be approved by EU regulators and the companies’ respective boards – it would represent a significant shift for both organisations and the German energy sector more generally. By bolstering its network infrastructure, E.ON should be able to generate substantial cost savings, while RWE will be able to ramp up its solar and wind offerings.

“This looks like an advantageous step for E.ON at first glance,” Thomas Deser, Fund Manager at Union Investment, told Reuters. “Through the renewable pipeline, RWE, too, should be able to offset its dwindling nuclear and lignite business, as well as attract partners for the expansion of its wind business.”

Both companies have had to rethink their business models in recent years, with German Chancellor Angela Merkel championing the pursuit of a low-carbon economy through Germany’s ‘Energiewende’ policy. This has caused increased competition in the renewables sector and forced traditional utility businesses to cut costs wherever they can.

E.ON and RWE’s decision to specialise in networks and energy generation respectively is an admission that a more focused company is often a more efficient one. RWE’s transformation, however, may prove more challenging than E.ON’s, particularly given renewables remain subject to huge price pressures.

Inventor Sajjad Yaghoubi and the Aspetto team bring hi-tech solutions to Dubai

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From a young age, I knew I wanted to be an inventor. Inspired by those great creative thinkers that came before me, I had already built around 40 different robots by the time I left secondary school. In fact, this passion drove me to abandon my medical studies after just three years in order to pursue my true ambition.

Since then, I have started my own business and become the Research and Development Manager at Aspetto, a Dubai-based firm that aims to change the world through innovative new technologies.

Although I am only at the start of my career journey, I have already received a number of accolades that I am truly humbled by. Media outlets have described me as the “next Bill Gates”, international exhibitions have awarded my inventions countless prizes and many investors from around the world are interested in my work. These successes are obviously a great source of pride, but it is the future, not the past, that inspires me.

That is why Aspetto continues to focus on producing innovative new technologies that can have a truly global impact.

Developing new solutions
Wherever there is a problem, be it in healthcare, green technology, AI or project management, Aspetto will always try to create a solution. As part of this commitment to new technologies, we are keen to showcase the company’s inventions at various exhibitions and trade shows. Not only does this allow us to share our ideas with the wider world, but it can also help inspire fellow exhibitors to pursue new projects.

At the 2017 British Invention Show, the Aspetto team – Mohammad Taghi Najafi, Omar Abdulaziz Al-Alshaikh and I – entered its Tree Robotic System into the Environmental Health category. The device works as an air purifier, removing dust and other impurities from the atmosphere.

Wherever there is a problem, be it in healthcare, green technology, AI or project management, Aspetto will always try to create a solution

Not only is the robotic tree powered entirely by solar energy, it also comes equipped with a Wi-Fi network and can convert humidity in the air into purified water. It is hoped the tree could become a unique addition to the urban landscape, making it both practical and aesthetically pleasing.

Of course, this is far from the only project that we have developed: we have already secured four patents, with many more to come. As we engage with fellow inventors, businessmen and governments from around the world, it becomes clear there is still much work to be done in order to make the world a better place. Aspetto is ready for this challenge.

Aiming high
Although our business has global ambitions, we take a particular interest in the current developments occurring in Gulf Cooperation Council countries. Their commitment to creating new standards of excellence, exemplified by the architectural achievements of the UAE, correlates closely with our own company ethos.

With Dubai selected as the host location for Expo 2020, the eyes of the world will focus on the innovative technologies being created in this part of the world – and Aspetto aims to play a key role in this. We have designed a 358m tower to be erected in the city in advance of the expo’s launch. But this will be no ordinary tower: it will utilise both medicine and robotics in its architectural design in a way that no building previously has – observers will be able to ease their eye fatigue simply by looking at the tower for approximately five minutes.

Upon completion, the tower’s ability to exercise a viewer’s eye muscles could see it entered into the Guinness World Records as the world’s largest exercise machine. In addition, the building will also serve as a symbol of peace and global health, with a design that shows people across five continents holding hands.

As a young entrepreneur, it would be easy to get carried away with my success so far, but the world’s many existing problems indicate that now is not the time to rest on my laurels. This is why Aspetto’s projects have such a broad range, encompassing everything from robotics to biomedicine. Some will succeed and others will fail, but one thing is for sure: we will keep trying to make the world a better place, one invention at a time.

Danish energy regulator approves Total’s purchase of Maersk Oil

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On March 2, Denmark’s energy regulator finally approved Total’s purchase of Maersk’s oil division, bringing an end to the Danish conglomerate’s energy business after 56 years.

The sale of Maersk Oil to French energy giant Total was first announced in August 2017, but had been stuck in limbo as the companies awaited a green light from the Danish Energy Agency. The companies now expect the $7.45bn deal to close by the end of the quarter.

“As part of the agreement, Total will take over Maersk Oil’s organisation portfolio, obligations and rights with minimal pre-conditions,” Maersk revealed in a statement.

As a regulatory condition of the sale, Maersk will accept secondary liability for the decommissioning of its share of the existing offshore infrastructure in the Danish North Sea, represented by its 31.2 percent stake in the Danish Underground Consortium. Put simply, in the unlikely event Total cannot cover the cost of decommissioning the purchased assets, Maersk will have to pay up to $1.2bn in lieu.

The sale of Maersk Oil marks the end of an era for Danish energy, with the company previously having held a 50-year exclusive licence to explore an area of the Danish North Sea

In a press release issued when the deal was first announced, Total said the acquisition would make it the second largest operator in Northwest Europe, second only to China National Offshore Oil. The deal comes as Total, the world’s fourth largest oil company in terms of market capitalisation, continues to aggressively expand its global acquisitions and exploration activities, having recently established new projects in Lebanon, Iran, Libya, Brazil and Angola.

The sale, on the other hand, is part of a four-part liquidation of Maersk’s energy assets. The Danish conglomerate sold Maersk Tankers for $1.2bn at the end of last year and plans to sell off both its drilling and supply services in the near future. Despite the sale, Maersk will retain a stake in the oil market through the 97.5 million Total shares – worth $4.95bn – it will receive as part of the deal.

Nonetheless, the sale of Maersk Oil marks the end of an era for Danish energy, with the company previously having held a 50-year exclusive licence to explore an area of the Danish North Sea. Maersk is also the founding member and current operator of the Danish Underground Consortium, a partnership of oil companies responsible for 85 percent of Denmark’s oil production.

The revenue from the sales will provide a capital boost for Maersk, which controls almost a fifth of the world’s container shipping market, as it plans to focus on integrating its shipping and logistics operations. The timing of the exit is also strategic, with oil production in the Danish North Sea having experienced a natural decline since its peak in 2005.

Amazon buys smart doorbell start-up Ring

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Amazon has paid $1bn to acquire hi-tech doorbell firm Ring, according to various reports surfacing on February 27. Although neither company has publicly commented on the deal, experts believe it could provide a boost to both Amazon’s delivery services and smart home ambitions.

Ring may have only been founded in 2012, but the Santa Monica-based start-up is already being used by more than two million customers. Its video-enabled doorbells allow users to see outside their homes by streaming live video to their smartphone or computer. With the smart doorbell space becoming increasingly crowded, the Amazon partnership should help Ring compete against the likes of SkyBell and Vivint.

“We’ll be able to achieve even more by partnering with an inventive, customer-centric company like Amazon,” a Ring spokesperson told CNBC. “We look forward to being a part of the Amazon team as we work towards our vision for safer neighbourhoods.”

With the smart doorbell space becoming increasingly crowded, the Amazon partnership should help Ring compete against the likes of SkyBell and Vivint

It is thought the purchase of Ring could form part of Amazon’s proposal to deliver to customers’ homes when the owner isn’t present. The recently trialled service, dubbed Amazon Key, combines a security camera with a smart lock and bespoke app to provide users with in-home delivery and keyless entry. Gaining access to Ring’s customer base could help Amazon expand this service rapidly.

The acquisition of Ring also adds another product to Amazon’s growing portfolio of smart-home devices. The e-commerce giant already produces an indoor security camera, Cloud Cam, as well as Amazon Echo, a smart speaker that can control smart home functions using voice commands. What’s more, Ring is already compatible with Amazon’s virtual personal assistant, Alexa.

The global smart home market is expected to be worth in excess of $50bn by 2022, but it will be difficult for smaller players to compete with the ecosystems being built by the technology heavyweights of Amazon, Google and Apple. As such, they’ll be left with little choice but to accept any acquisition offers that come their way – as they say, if you can’t beat them, join them.

Top 5 ways to improve your company’s password security

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No matter which sector an organisation operates in, the only certainty in the current business world is that survival – and ultimately success – is determined by immediacy. This is especially true when it comes to cybersecurity.

The humble password has long been the first line of defence against hackers in modern computing, but the increased use of digital technologies – such as the cloud, big data, mobile, Internet of Things and AI – has posed fresh challenges to companies when it comes to security, compliance and data protection.

Despite this progression, the password still has a vital role to play alongside other layers of technology; companies should not underestimate the value of good password hygiene.

With that in mind, here are five preventative steps IT managers can take to improve their company’s password protection hygiene and help protect their industries against those with malicious intent:

Change passwords regularly
Although many businesses require passwords to be a minimum length, mix letter case and use numbers, the majority are failing to enforce any further password complexity requirements on employees.

Our recent research revealed only 37 percent of the 600 UK-based businesses surveyed asked employees to check their passwords against common password lists (an obvious criminal-proofing tactic) and 39 percent didn’t even require employees to use special characters.

The reality is the ‘traditional’ password is dead; it can be compromised far too easily.  Many people tend to choose passwords based on how memorable they are, rather than as a measure to deter online intruders, and these same passwords are often shared across numerous accounts.

So, John Doe’s email password may well be the same as his password for, say, his bank account. Even worse, many people follow the same predictable patterns when choosing passwords, with “1234567”, “qwerty” and even “password” reported as being some of the most popular choices.

To avoid playing into the hands of hackers and to tackle poor password hygiene habits, employees should be encouraged to use passphrases, not passwords

Hackers know this and run scripts that use these lists – both common password lists and stolen password lists – to automatically try many different username-password combinations on multiple websites. Try enough doors and, eventually, you’ll find one that can be unlocked.

The way to stay ahead of the hackers is to change passwords regularly, so that even if your password has been previously leaked, you’re already using a new one.

Use passphrases over passwords
To avoid playing into the hands of hackers, and to tackle poor password hygiene habits, employees should be encouraged to use passphrases, not passwords.

A phrase such as “will Manchester United win the Champions League in 2018?”, besides being a question on the lips of football fans, is easy to remember, meets character criteria (numbers, letter case and special characters) and is hard for a computer to guess in a brute force attack.

Deploy multiple factors of authentication
The use of multi-factor authentication (MFA) – including MFA apps – must also be encouraged. An MFA app generates a one-time password (OTP), also known as a token, that is valid for only 30 seconds. Even if hackers guess a user’s password, they won’t be able to guess a randomly generated OTP before it expires.

MFA apps also have end-to-end, military-grade encryption that remains secure even over untrusted networks – unlike OTPs, which are sent via SMS.

However, MFA apps should only be used on phones that haven’t been jailbroken, since they can contain malware that can intercept OTPs and send them to hackers to login to apps.

Conduct regular security training
Whether it’s a loss prevention associate or a manager, every employee requires some level of cybersecurity training. These training sessions should be focused on providing workers with information on the risks associated with accessing schedules, training materials and other data on personal and company devices, so they can be aware of current threats. It is critical for this training to provide clear links between how these issues impact their work day and personal lives.

Despite the dangers posed by a lack of security training, our recent study revealed almost a third of UK businesses do not invest in security education for their employees. Given the gravity of training employees on the risks of cybersecurity, it is clear IT managers are struggling to protect their organisations from the threat of intruders.

Implement single sign-on
Implementing operating systems that offer single sign-on (SSO) functions is another sure-fire way of cleansing a company’s password hygiene. SSO is an authentication process that enables employees to access their applications using just one set of login credentials.

While this service provides convenience for its users, it can also help ensure the right employees are accessing the appropriate documents. This is possible as IT managers have control over application provision and can authorise access for the appropriate individual on the appropriate applications depending on the needs of their job role – protecting sensitive data from getting into the wrong hands.

India and Virgin reveal ambitious plans for the world’s first hyperloop

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India has leapfrogged the rest of the world to implement one of the world’s most advanced transport technologies: hyperloop. On February 18, Virgin founder Richard Branson signed a framework agreement with the State of Maharashtra to build a hyperloop track connecting the cities of Pune and Mumbai, with the intention of drastically decreasing travel time and traffic congestion.

The proposed route, set to be the first of its kind, will link the two cities via the upcoming Navi Mumbai International Airport. Critically, Virgin claims the project could cut the current commute time from approximately three hours by train (2.5 hours by road) to just 25 minutes.

“I believe Virgin Hyperloop One could have the same impact upon India in the 21st century as trains did in the 20th century,” Branson said in a company statement. The move is significant, but India’s transport infrastructure still needs a lot of work in order to support a growing economy and population.

Hyperspeed ahead
The hyperloop – originally the brainchild of serial entrepreneur Elon Musk – allows for ultra-fast travel speeds by shooting transport capsules through low-pressure tubes on magnetically levitated tracks. If successful, the completed hyperloop would represent a major victory for an emergent technology that has never been tested at scale, and would almost certainly be replicated throughout India and the rest of the world.

In its statement, Virgin said future projects could see the route expand to include the upcoming New Pune International Airport, as well as linking industrial zones in Pune with Jawaharlal Nehru Port in Mumbai.

The Pune-Mumbai route will be carried out in several phases, with the initial six months devoted to a feasibility study determining, among other things, the environmental impact, cost and regulatory framework of the project. Upon completion of the study, an operational demonstration track will be constructed within three years, with completion of the full track expected to take another five to seven years.

The hyperloop allows for ultra-fast travel speeds by shooting transport capsules through low-pressure tubes on magnetically levitated tracks

“Mumbai-Pune is one of the busiest and most travelled routes because Pune is like a satellite town to Mumbai,” said Dr Ruth Kattumuri, Co-Director of the India Observatory at the London School of Economics. “There have been several other projects including a six-lane highway in the last 10 years, and the airports have become more used. This would be a third element.”

The proposal envisions 150 million passenger trips per year, saving customers an estimated 90 million hours of travel. According to Virgin Hyperloop One’s pre-feasibility study, the hyperloop project will also reap $55bn in economic benefits over 30 years, and could reduce greenhouse gas emissions by 150,000 tonnes annually as a result of the electric powered track and reduced traffic congestion.

In the driver’s seat
India’s transport infrastructure is forecast to grow faster than any other infrastructure component in the economy, averaging an annual expansion of 5.9 percent through 2021. This is a result of stronger government investment in transport projects, as well as new policies and increased foreign direct investment.

The policy changes have included assigning regional governments regulatory approval of urban transit projects and encouraging public-private partnerships in a bid to increase capital flow. Additionally, New Delhi’s 2018-19 Union Budget has allocated record amounts to rail infrastructure and the National Highway Authority.

“India is at [a] development phase where it has to exponentially increase its investment into multiple sectors, and infrastructure is one of the key sectors,” Kattumuri said. “Over the last 10 years, when you talk about growth in India, infrastructure is among the top concerns hampering development, so I would say growing its infrastructure is extremely important.”

Speed bumps
Despite large investments into the infrastructure sector, India faces a number of uphill challenges. The country’s rising population and growing economy have pushed up the demand for energy, creating a need for energy-efficient transport systems. Meanwhile, capacity constraints have created bottlenecks in important rail corridors. A successful proof of concept of hyperloop at scale would take pressure off strained rail networks and help improve the overall efficiency of the transport system.

According to Kattumuri, the fact India’s population is so young – over half the population is under the age of 25 – makes infrastructure investments all the more crucial: “It is a very mobile population because it is a young population, and to be mobile you have to have better infrastructure.

India’s rising population and growing economy have pushed up the demand for energy, creating a need for energy-efficient transport systems

“India’s young population is one of its biggest advantages, and it has to create different engines of growth in order to meet the aspirations of its young people.”

The ease of commuting long distances at high speeds would act as an economic multiplier. It could boost job creation by the tens of thousands across all sectors in the economy, particularly those concentrated in urban and industrial areas such as construction, manufacturing and service industries. The hyperloop system also has great potential to expand access to education for rural inhabitants, improving the country’s long-term economic prospects.

The Pune-Mumbai route looks to connect two bustling metropolitan hubs. But as super high-speed transport networks catch on, they have the potential to make travel between metropolitan and rural areas almost effortless, providing a significant boost to the number of available labourers and consumers in the economy.

The population of India is set to overtake that of China by 2024, with growth expected to continue until 2061, when it is projected to peak at 1.6 billion. It is imperative the country modernises its transport systems as it works to support an unprecedented population density, which is forecast to reach 564 people per square kilometre in 2061.

There is a significant amount of work required before India can efficiently handle its own growth, but the hyperloop project signals the country’s strong continuing commitment to that end.

Blockchain is shaping the future of video gaming – here’s how

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Countless gamers around the world are currently unable to play some of the industry’s leading titles because they lack the powerful hardware necessary to run them efficiently. For this purpose, the gaming industry is in great need of a shift from the traditional, centralised hardware platform currently in place to an entirely new, decentralised ecosystem: the cloud.

At the heart of this transition is blockchain. The distributed ledger technology behind bitcoin is revolutionising everything from international cybersecurity to the distribution of pharmaceuticals – and the ever-growing video game industry is no exception. Blockchain will allow owners of powerful gaming PCs and GPUs to ‘rent’ their servers to fellow gamers who lack either the funds or hardware required to play the games they love.

This ability to share processing power will transform the gaming industry as we know it. And, as more game developers look into the capabilities of blockchain technology, the more it becomes apparent it is the perfect fit for the industry.

The central issue
Cloud gaming is not a new concept, but many have stumbled upon problems in the past, particularly when it comes to internet quality and service. While internet quality has been slowly improving over the years, service continues to cause serious difficulties. The solution? Decentralisation.

Decentralisation will be vital to speedy scaling processes and will transfer the power back into the hands of the gamers who drive the industry. With no centralised body in place, consumers will be able to communicate directly without the need for intermediaries. This will allow for more freedom and flexibility, improving the gaming experience in the process.

The recurring theme in the deployment of blockchain in the gaming industry is the empowerment of gamers

Decentralisation will also provide gamers with greater security; hacking is an all too common occurrence in the gaming industry due, in part, to the regular use of centralised networks, which provide hackers with a single point of access to an entire system. Decentralised systems, meanwhile, are spread across multiple points, making it a great deal harder for hackers to gain access.

Chain reaction
The recurring theme in the deployment of blockchain in the gaming industry is the empowerment of gamers. Some innovators, for example, are using blockchain to facilitate the sale of gamer-earned digital goods – in-game items awarded to players for the time and effort they have put in. Blockchain ensures these transactions are safe and transparent, removing the possibility of scams.

In fact, a key benefit of blockchain is the transparency it provides. Decentralised gaming will likely depend on the exchange and investment of cryptocurrencies, such as Playkey. Blockchain will be vital to these transactions, ensuring all dealings are recorded in an open and safe way. For example, one gamer is perfectly able and entitled to view the contents of another’s crypto-wallet if the transaction was made using a smart-contract on a decentralised crypto-exchange like EtherDelta.

Competitive gaming – or e-sports – could also benefit from an industry-wide adoption of blockchain. Currently, the inner workings of a game and its servers, known as core logic, are handled by a centralised server, with no real evidence to prove everything is working as advertised. Once upon a time this was an unsolvable problem but, now, blockchain has presented an opportunity to host a public core logic – providing absolute transparency.

If this proved too costly or complicated, a similar outcome could be achieved by publishing proof of results on a public blockchain, which would allow analysts to re-run a game should the result be in question.

It is worth noting blockchain will have a much greater influence than we are able to comprehend or foresee at this moment in time. The only thing we do know is we’re yet to unleash the full capabilities of blockchain technology. It is not simply the introduction of cryptocurrency and the removal of intermediaries that makes blockchain integral to the future of gaming: it is the introduction of an auditable, verified store of data collating every possible measurement it can – all in a protected, but open, ledger.