I invite you to explore rail's untapped potential. In my monthly talks with innovators and leaders we observe challenges and opportunities on a global scale.
My mission is to connect the right people because we only shape the future of mobility and our planet together.
Let me take you on a journey to explore new approaches and fresh ideas.
Welcome to the RAIL^UP club; enjoy listening!
Sebastian Sperker
If you are an innovator or a leader of the ecosystem of rail, let's drop me a message and have a talk.
sebastian@railup.club
www.railup.club
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Digitale Schiene Deutschland (DSD) is a sector initiative aimed at transforming the German rail network through digitalization. DSD’s primary goals are to increase rail capacity, enhance service quality, and improve efficiency across the network without extensive physical infrastructure expansion. Key components include the rollout of the European Train Control System (ETCS) for digital signalling, automated train operations, a vehicle-centric safety logic for driving at optimal headways, and highly automated, AI-driven planning and real-time traffic management. By developing and integrating advanced technologies, Digitale Schiene Deutschland aims to create a more resilient, efficient, and sustainable rail system that supports Germany's environmental and mobility goals. The deployment of these systems is expected over the next decade.
https://digitale-schiene-deutschland.de/de
About Michael Küpper
Michael joined Digitale Schiene Deutschland (DSD) at Deutsche Bahn in 2017. As Product Manager, he has built and led the scaled-agile team-of-teams that implements DSD’s Capacity & Traffic Management System (CTMS). In parallel, he has led the implementation of agile and self-organized principles across several innovation departments at DSD. Since 2023, Michael has served as Stakeholder Manager to drive the strategic vision of CTMS and its enabling technological foundations within the railway sector at large. Michael holds a PhD in physics from The Weizmann Institute of Science in Israel and has over 10 years of experience as strategy and management consultant. Throughout his career, he has introduced Artificial Intelligence (AI) in environments, where AI had not been previously applied, from particle physics analysis to housing price prediction to rail traffic management.
Key Takeaways
Focus on “Weak AI”: Current applications rely on weak AI to address specific problems, while strong or “General AI” remains a distant possibility.
Two Key AI Use Cases: In addition to predictive maintenance (e.g. for rolling stock) and similar applications of pattern recognition, active traffic management is emerging as a significant new application of AI in the rail industry.
Active Traffic Management: This approach allows for quick decision-making in complex environments, enabling disruptions to be managed efficiently—new schedules can be generated and implemented in minutes or less.
Holistic Approach: The CTMS will take a comprehensive view, considering multiple factors like speed, energy consumption, and connections.
Long-Term Implementation: While AI can already support planning, a fully implemented CTMS is expected to take another 5-10 years.
High Failure Rate of AI Projects: Up to 85% of AI projects fail.
Costly AI Projects: AI initiatives are often expensive to execute.
Focus on Automation: The goal should not be AI itself, but rather automation and new processes.
Data Challenges: A key hurdle for AI projects is cleaning and consolidating data from outdated systems. It often takes a longer breath than many management teams or investors are ready to accept.
The Answer of AI Is AI: The phrase suggests that AI is often seen as the go-to solution for various challenges, including the ones created by AI itself
Sebastian Sperker
www.railup.club
sebastian@railup.club
#15 IRSC: Game Changing Technologies Increasing Safety
Season 1 · Episode 15
Sunday, October 6, 2024 • Duration 49:16
About IRSC
The International Rail Safety Council (IRSC) is a global forum for railway safety experts, regulators, and industry leaders. It focuses on sharing knowledge, best practices, and innovations to improve rail safety worldwide, primarily through its annual conference. The IRSC promotes international collaboration to reduce accidents and enhance rail safety systems.
www.inteernational-railway-safety-council.com
About the Panelists
Head of Safety & Operations - European Union Agency for Railways (ERA), Bart Accou
ÖBB Program Manager of the Digital Automatic Coupling, Constanze Bannholzer
CCO of Nevomo, Stefan Kirch
Vice President of Transit Engineering at Wabtec Corporation, Paolo Paliero
Director General of UNIFE, Enno Wiebe
Secretary General International Union of Wagon Keepers (UIP), Gilles Peterhans
Founder & CEO of Parallel Systems, Matt Soule
My Key Take Aways
Reality Check: Gilles made it clear that we need to face reality—the modal shift is not happening with the current setup of rail freight. We need to embrace innovation, rethink the ecosystem, and change the game.
New Potential for Modal Shift: Matt explained that with self-propelled autonomous railcars, a new, attractive rail service could be offered for the so-called Class 2 and Class 3 railroads in the U.S., allowing smaller volumes to be transported over shorter distances.
Challenges in Homologation: Stefan highlights the difficulties of approving new rail technologies, as their system blurs the lines between traditional rail and maglev, with the pods "flying" over the tracks.
Digital Automatic Coupling (DAC): Constanze emphasizes DAC as a game-changing innovation for efficiency and safety in European rail freight, though it is not yet fully embraced by the sector.
Data-Driven Innovation: Gilles stresses the need for better use of data to improve safety and efficiency and calls for harmonization across countries.
#6 Keynote: Connect or Die - Evolution of Connectivity ^ The Show
Season 1 · Episode 6
Sunday, January 7, 2024 • Duration 29:28
About Dietmar Dahmen
Dietmar, a futurist speaker with 20+ years in global marketing and advertising across cities like New York, Hamburg, Munich, Los Angeles, and Vienna, transitioned from a strategic planner to a respected creative. He held significant roles including Creative Director at DDB, Managing Director, and Chief Creative Officer at BBDO, as well as Executive Creative Director at Ogilvy.
Today, Dietmar is a renowned global speaker and consultant specializing in digital transformation and marketing innovation. With an advertising background, he provides dynamic insights, empowering companies to navigate the evolving digital landscape. He co-founded startups, advises tech giants, and in January 2020, launched Brainkicks GmbH, focusing on communicating change through advertising and marketing.
Married and a proud father residing in Vienna, Dietmar's captivating presentations inspire innovative thinking for enduring success in competitive markets.
www.dietmardahmen.com
My Keytake aways
Connectivity has elevated humanity to a leading position among Earth's species.
There are two primary drivers for innovation:
ONE: Necessity-driven innovation involves identifying targets and seeking solutions to address specific problems.
TWO: Boredom-driven innovation occurs without a specific target, allowing for open exploration and unexpected discoveries.
Connectivity embodies three essential aspects:
ONE: Speed: Comparable to the Roman road network, which drastically accelerated intercity connections.
TWO: Reach: Illustrated by Starlink's global accessibility across nearly every corner of the planet.
THREE: Handshake: The Apple ecosystem seamlessly integrates various devices like iPhone, iPods, and iWatch, ensuring continual connectivity.
Decentralization offers safety but comes with drawbacks such as individual-focused endeavors, exemplified by rail construction works in Europe.
Centralization, while speedy, creates high dependencies on singular individuals or institutions.
#6 Keynote: Connect or Die - Evolution of Connectivity ^ The Podcast
Season 1 · Episode 6
Sunday, January 7, 2024 • Duration 29:28
About Dietmar Dahmen
Dietmar, a futurist speaker with 20+ years in global marketing and advertising across cities like New York, Hamburg, Munich, Los Angeles, and Vienna, transitioned from a strategic planner to a respected creative. He held significant roles including Creative Director at DDB, Managing Director, and Chief Creative Officer at BBDO, as well as Executive Creative Director at Ogilvy.
Today, Dietmar is a renowned global speaker and consultant specializing in digital transformation and marketing innovation. With an advertising background, he provides dynamic insights, empowering companies to navigate the evolving digital landscape. He co-founded startups, advises tech giants, and in January 2020, launched Brainkicks GmbH, focusing on communicating change through advertising and marketing.
Married and a proud father residing in Vienna, Dietmar's captivating presentations inspire innovative thinking for enduring success in competitive markets.
www.dietmardahmen.com
My Keytake aways
Connectivity has elevated humanity to a leading position among Earth's species.
There are two primary drivers for innovation:
ONE: Necessity-driven innovation involves identifying targets and seeking solutions to address specific problems.
TWO: Boredom-driven innovation occurs without a specific target, allowing for open exploration and unexpected discoveries.
Connectivity embodies three essential aspects:
ONE: Speed: Comparable to the Roman road network, which drastically accelerated intercity connections.
TWO: Reach: Illustrated by Starlink's global accessibility across nearly every corner of the planet.
THREE: Handshake: The Apple ecosystem seamlessly integrates various devices like iPhone, iPods, and iWatch, ensuring continual connectivity.
Decentralization offers safety but comes with drawbacks such as individual-focused endeavors, exemplified by rail construction works in Europe.
#5 The missing link: How Vegatrans R2L solution connecting 4 million trailers to rail
Season 1 · Episode 5
Sunday, December 3, 2023 • Duration 43:23
About Franz Blum
Franz, the founder of the logistics company Vegatrans, commenced his journey during his law studies in Salzburg and Vienna by delivering commercial vehicles from Europe to Turkey and the Middle East. What initially began as a student job soon transformed into an enduring passion for logistics. At the end of his studies, he, together with four partners, established Vegatrans. From the outset, Franz emphasized eco-friendly transportation and initiated the integration of rail services into the supply chain. Concurrently, alongside his business pursuits, he also established the largest public observatory in Europe, with the vision that looking out to space makes us understand better that Earth is the paradise in the universe and needs to be treated well to sustain. Today, Franz resides with his family in Salzburg, Austria.
About Vegatrans & R2L
Vegatrans distributes approximately 150,000 commercial vehicles manufactured by companies like MAN, Iveco, Mercedes, and Volvo. The Vegatrans team covers over 50 million kilometers annually, delivering these units to customers across Europe and Asia. The company's headquarters are situated in Salzburg. Additionally, Vegatrans operates 11 international subsidiaries. A primary emphasis for the company lies in delivering high-quality and environmentally friendly logistics services. Notably, Vegatrans has initiated the integration of rail transport into its supply chain. To enhance green rail transport, Vegatrans collaborated with their partner to develop the roadrail connector (R2L). This innovation enables the seamless integration of 95% of the semi-trailer fleet into the rail ecosystem.
www.vegatrans.com
www.r2l.com
My Key Takeaways
Approximately 4,000,000 semi-trailers operate on European roads, with less than 5% designed for rail transport.
The absence of a substantial secondary market has hindered significant investments in crane-compatible trailers.
#4 Green is the New Black: The Uncharted Impact of CO2 Regulations
Season 1 · Episode 4
Sunday, November 5, 2023 • Duration 40:24
About Serge Schamschula
Serge serves as the head of the ecosystem at the transport management platform Transporeon. In this role, he is responsible for fostering partnerships, building networks, facilitating coordination and collaboration with research & academia. In addition to his position at Transporeon, he also holds the vice-chair position at ALICE, the Alliance for Logistics Innovations through collaboration. Furthermore, he serves as board director for the European Freight Logistics Leaders Forum. Prior to this role, he spent nearly two decades in various positions at the freight forwarding company Transped Europe. He studied Business Administration, Marketing, and Sales at Johann Kepler University in Linz, Austria.
About Transporeon
Transporeon is a technology company that provides cloud-based logistics and transportation management solutions. Their platform connects 1.400 shippers and 158.000 carriers, enabling them to manage and optimize their supply chain operations efficiently. Transporeon offers solutions such as freight tendering, tracking, and visibility, as well as tools for carrier selection, performance, and CO2 monitoring. The company's solutions aim to improve transparency, collaboration, and efficiency in the logistics industry, ultimately helping businesses streamline their transportation processes and reduce costs.
www.transporeon.com
Key Takeaways
Regulations regarding mandatory CO2 emissions reduction are unclear for many actors in the supply chain and beyond.
Although these regulations will have a significant impact on the business model and supply chain.
Three major regulations will affect businesses in Europe and worldwide:
The CSRD (Corporate Sustainability Reporting Directive) will compel more companies to report on their CO2 emissions and create plans for future reduction.
The CBAM (Carbon Border Adjustment Mechanism) will establish a level playing field for CO2 pricing on goods entering the EU, encouraging cleaner industrial production in non-EU countries.
The EU ETS2 (European Emission Trading System 2) is a cap-and-trade program designed to limit and reduce CO2 emissions from various industries including transport. Future emissions will come with a cost.
#3 Back to the future: NEVOMO´s way to rethink rail
Season 1 · Episode 3
Sunday, October 1, 2023 • Duration 47:41
About Stefan Kirch
Stefan is the Chief Business Development Officer and (late) Co-Founder of Nevomo, a rail tech company located in Warsaw. He joined Nevomo in late 2021 after working for more than a decade for Deutsche Bahn in various functions, with a strong focus on infrastructure. He led the sales department of DB-Netze and was an intrapreneur, founding FlexRail within Deutsche Bahn. He studied European Law and Business Administration at Julius Maximilian University in Würzburg Germany.
About Nevomo
Nevomo is a European deep-tech company that develops the next generation of high-speed railways, aiming to improve inefficient legacy infrastructure and take it to the next level. As a leading player in innovation in the sustainable and intelligent mobility industry, the company has developed the globally unique MagRail technology, allowing automation, electrification, and full digitalization of existing rail transportation systems. Nevomo is the first company in the world to propose a phased implementation of transportation systems inspired by the hyperloop concept by upgrading railway lines. The company intends to revolutionize railway transport, achieving speeds of up to 550 kph by equipping existing infrastructure with magnetic levitation and linear motor technology. Furthermore, the MagRail product portfolio includes the MagRail booster, allowing for a quick retrofit of existing railcars to enable linear motor propulsion.
www.nevomo.tech
Key Takeaways
Trucks on highways in Europe currently have a higher spare capacity than the volume being transported by rail. This raises the question of whether rail freight could be entirely replaced by additional trucks on the road in a hypothetical scenario.
Considering the rapid advancements in AI, platforms, and connectivity, more readily integrated into road transportation, this hypothetical scenario highlights a potential risk for the rail industry.
If road transportation proves cheaper, more flexible, and environmentally friendly once trucks are green, one might question the rationale for investing in rail. This shift is likely to occur within the next decade.
#2 The Tale of Parallel Systems - Exploring the impacts of autonomous railcars on US Rail Freight with Matt Soule
Season 1 · Episode 2
Sunday, September 3, 2023 • Duration 39:00
About Matt Soule
Matt Soule serves as the CEO and Co-founder of Parallel Systems, a railtech startup located in Los Angeles. In 2020, he co-founded the company with former colleagues. Prior to this venture, Matt spent 13 years at SpaceX, where he held various roles, including Head of Avionics and Head of Power Electronics. Before joining SpaceX, he gained valuable experience working at Northrop Grumman and Lockheed Martin. Matt holds a Master's degree in electrical engineering from the University of Southern California.
About Parallel Systems
Parallel Systems is a pioneering railtech startup focused on developing autonomous battery-electric rail vehicles designed to transport cargo in a cleaner, faster, safer, and more cost-effective manner. The company's innovative railcars have the ability to form "platoons" for reduced energy consumption and can split off to multiple destinations during transit. Parallel's business model aims to empower railroads with the tools to optimize the utilization of the existing rail network while also capturing a portion of the $700 billion trucking industry for rail transport.
Key Takeaways
Rail transportation in the United States is predominantly geared to cargo transport, while in Europe, it is more oriented towards passenger transportation.
The US rail freight sector is exceptionally profitable due to its large-scale operations, with trains capable of stretching up to 5 kilometers and transporting over 600 TEU
The rail sector in the US is highly consolidated, dominated by only 6 vertically integrated players known as "class 1 railroads."
Parallel Systems identifies a promising business opportunity in transitioning smaller volumes of cargo from road to rail by developing autonomous battery-electric rail vehicles, contributing to a net-zero emission transportation solution.
In August, Parallel Systems and Genesee & Wyoming (G&W) filed an application to the Federal Railroad Administration (FRA) to do a pilot test in Georgia.
#1 Rail mobility: a future picture for Europe with Nathan Zielke
Season 1 · Episode 1
Monday, July 31, 2023 • Duration 36:52
About Nathan
Nathan has a vast experience in the European mobility sector as he worked in the aviation and railway industry at C-Level.
In the last decade, he founded various start-ups focusing on digital services and platforms.
Today he is a consultant, entrepreneur and investor; therefore, he is my first guest in RAIL^UP.
My takeaways
Rail transportation excels as a long-distance transport solution (its USP), while road transportation is better suited for shorter distances
The most effective integration strategy involves using (electrified) trucks for first and last-mile transport and relying on the rail network for long-distance hauls, creating an ecologically and economically sound combination
Single-Wagon-Load (SWL) traffic, still dominant in some countries, will remain unsustainable without substantial state subsidies. Affordability for all transport systems requires traffic bundling, necessitating a shift from "single" to "multiple" in SWL
The road transportation sector is expected to become environmentally friendly within the next 10 years, prompting the rail industry to seize the opportunity and demonstrate its potential
Rail tends to be less of an early adopter of technology due to the longer life cycle of rail rolling stock compared to trucks and trailers used on roads.
Expanding passenger train services will affect network capacity, impacting cargo transportation on the rail network
While Berlin was Europe's start-up hub until 2010, other areas have shown significant growth in meaningful start-up companies by 2023
Key factors for a successful modal shift to rail include developing and optimizing terminals, expanding network capacity, and (if desired) establishing supportive political regulations. These elements are vital for promoting and facilitating the adoption of rail transportation for various goods and services
Sign up for the RAIL^UP club & enjoy listening!
RAIL^UP Trailer
Saturday, July 29, 2023 • Duration 00:56
I proudly present the launch of RAIL^UP, my podcast with innovators and leaders of our railway world.
Because people's minds can change the mobility world, I talk with inspiring international talents about how to shape the ecosystem. 🚀
Are you ready to embark on a journey of discovery, inspiration, and fresh ideas? Listen to the trailer today and be part of the RAIL^UP club from the very beginning. Welcome to RAIL^UP; enjoy listening.
Sebastian Sperker
www.railup.club
Technological vs. Operational Gaps: Paolo discusses the innovation gap between freight and passenger rail, noting that advanced locomotives contrast with underdeveloped freight wagons, impacting safety.
Safety and Technology: Bart advocates for an integrated approach to safety, focusing on both technological and operational improvements that support operators.
Courage for Innovation: Panelists call for courage, optimism, and openness to innovation, despite the challenges of introducing new technologies into legacy systems.
Mindset and People: The panel concludes that innovation in rail requires not only technology but also the right mindset and motivated individuals to drive change.
Sebastian Sperker
www.railup.club
sebastian@railup.club
Balancing time for contemplation and action is crucial for maintaining equilibrium.
Adaptability stands as the linchpin for achieving sustained success in a rapidly changing world.
Rail infrastructure might present a viable solution for mobility on the Martian surface.
Connectivity between the mode of transports is key to linking the mobility world of rail
Centralization, while speedy, creates high dependencies on singular individuals or institutions.
Balancing time for contemplation and action is crucial for maintaining equilibrium.
Adaptability stands as the linchpin for achieving sustained success in a rapidly changing world.
Rail infrastructure might present a viable solution for mobility on the Martian surface.
Connectivity between the mode of transports is key to linking the mobility world of rail
www.railup.club
sebastian@railup.club
As shippers are the primary decision-makers, informing them about the positive ecological impact of rail and persuading them initially is crucial.
CO2-neutral transport is a reality today.
Vegatrans developed the RoadRail-Link (r2L) as a platform to lift non-cranable trailers as well as trucks and buses using standard terminal equipment.
R2L enables the transportation of 95% of all semi-trailers by rail, opening an enormous new potential volume for rail.
A significant reduction in empty rail trips could be achieved due to market size and extensive geographical coverage.
To attract trailer transports, rail must improve flexibility, capacity and integrate IT systems.
Each shifted trailer contributes to CO2 reduction efforts. Burning a liter of diesel emits 3 kg of CO2 emissions.
Rail transportation offers up to 4-5 times higher energy efficiency compared to road transport.
A 20% modal shift from road to rail would double rail freight volume in Europe.
Vegatrans successfully persuaded road vehicle manufacturers to integrate rail into their supply chain and achieved an average train utilization rate of over 85%.
Vegatrans has already achieved a modal split of 40% for rail transport
Franz`s Vision: Trailers traveling from Marrakech to Shanghai by rail in a CO2-neutral manner.
www.railup.club
sebastian@railup.club
In the coming years, the CSRD will have the most significant impact on larger corporations as they must report CO2 emissions, which includes emissions from transporting goods, impacting the entire sector.
The EU ETS2 will substantially impact logistics when the initial cap of € 45,00/ton will cease and reach a level above €300 per ton of CO2 emissions, which is expected by 2030.
The entire transport sector will be integrated into the ETS2 by 2027. The difference would currently be 6-7 cents per km and will not lead to significant changes in the transport sector. Massive changes are expected once the cap is released.
Scope 3 emissions represent around 80% of an average company's emissions and are currently challenging to measure due to insufficient data quality.
If data quality is poor and key performance indicators (KPIs) are based on numerous assumptions, the resulting output may differ significantly based on bad data, unsuitable for CO2 management.
To get out of the data issue sharing primary data would be required. The solutions are there on technical level, but the actors are reluctant to do so.
There is strong support from shippers to transport more volumes via rail, especially intermodal transport. However, rail operations must be seamlessly integrated into the entire supply chain solution landscape, where the data ends at a terminal today.
Achieving ambitious green targets, especially concerning modal shift, is very unlikely if the current pace is maintained. Much more significant measures were needed to do so.
sebastian@railup.club
www.railup.club
While there may be a political push to support rail, the rail ecosystem needs significant innovation within the coming decade, not later!
It's essential to recall the challenges associated with railway projects in Europe, where infrastructure projects took over 20 years to materialize. Even with substantial investment, overcoming this time gap remains a formidable challenge.
Infrastructure managers must focus on increasing capacity due to the growing demand from passengers and the anticipated shift in transportation preferences.
Nevomo's approach involves upgrading the existing infrastructure with innovative technologies such as linear motors and passive magnetic levitation systems, which are faster and more cost-effective.
Nevomo's mix-and-match approach allows for combining various upgrades on a single corridor. These upgrades are designed to be backward compatible, enabling specific sections to be enhanced with linear motors for increased capacity through faster acceleration and braking or the replacement of traditional engines.
The recently tested “booster” technology of Nevomo could provide a significant capacity increase in the near future, especially for steep ramps or sections without electricity.
The implementation of new technologies depends on the required speed: Level 1 up to 250 km/hour → conventional railway, Level 1+ → upgrade with selective sections with linear motors, Level 2 up to 550 km/hour → Maglev Systems, Level 3 up to 1,200 km/hour → Hyperloop.
Very energy-efficient transportation using passive maglev technology starts at a speed of up to 250 km/hour, with the ability to lower speeds in sandy environments for reduced wear.
The proper railway technologies depend on the speed, use cases, and implementation timeline.
sebastian@railup.club
www.railup.club
Enjoy listening and sign up for the RAIL^UP club!
www.railup.club
Sebastian
www.railup.club
Sebastian
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