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The issue is the required gap to slow down from those speeds.

You might want to take a look at the train crash in Emden at the Transrapid facility.

A maglev train crashed into a maintenance vehicle at a speed of 500km/h because it takes too long to slow down.

The required gaps to operate a maglev system efficiently would end up with one capsule every 10 seconds - which means it can carry less passengers than a lane of highway.

The only way to get more capacity is by running actual trains.



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