Here's the complete proposal: http://www.spacex.com/sites/spacex/files/hyperloop_alpha-201... It's absolutely incredible. Low pressure tube that overcomes air pressure in a tube by having lateral fans push the small amount of air through the capsules, while the capsules is elevated on a small cushion of air produced by the capsule itself, essentially like an air hockey table, but the puck is providing the air. With electric motors like the ones in the Tesla Model S, as well as solar panels on the top of the tube, it would be completely capable of providing all the energy needed to power it. The tube would be built on pylons following I-5 (essentially a straight line) from SF to LA and be capable of covering the distance in half and hour. Since the tube is on pylons, there is little cost in buying land, drastically reducing cost. The entire proposal would cost $6 billion dollars, compared to the current proposed "bullet" train that would cost 68 billion. A one-way ticket would cost around $20. Since the tube is extremely simple, upkeep would be extremely minimal, and the chance of failure in the tube or capsule is very small. Absolutely astounding.
I don't want to sound like a complete cynic here, but how much longer until the rail industry (and whoever else) starts lobbying to prevent this from happening? If this project becomes a reality even twice the estimated cost you're looking at savings of tens of billions of dollars. That, and in sunnier states you're looking at the end of rail service as we know it. It's a very optimistic view to hold, but I hope it ends up happening. Elon Musk is a man we should all be looking up to. He's a modern day innovator and one of the most ambitious people out there. He's yet to make a move I strongly disagree with, and I hope this works out for him. It's interesting though, I wonder if he came up with this idea during the developmental phase of Tesla and electric vehicles or afterwords. Either way, it's a brilliant idea.