Delivery by rocket could change the game for UPS and FedEx

The Loadstar

Morgan Stanley believes SpaceX could change the game for United Parcel Services and FedEx.

Elon Musk says his company’s BFR vehicle could be a reusable mode of Earth transportation, for up to 150 tons of cargo.

The parcel service “industry could see a fundamental reset with the introduction of rockets as a transportation modality,” Morgan Stanley says.

The rationale for this hypothesis from Morgan Stanley analysts is the plan by Elon Musk’s SpaceX to operate Big Falcon Rockets, being designed to transport people from Earth to Mars, but also around Earth – New York to Shanghai in half an hour. And with a payload of 150 tonnes, it could revolutionise the express business. It would certainly make it a lot quicker…

Airplanes and Panamax cargo ships redefined the parcel service in the 20th century, but those days may be fading quickly.

Morgan Stanley believes the SpaceX plan for the Big Falcon Rocket as a reusable mode of Earth transportation could change the game for United Parcel Services and FedEx.

“The freight transportation business — especially parcel delivery — is on the cusp of transformation from multiple new transportation modalities,” a team of Morgan Stanley analysts wrote in a note Thursday. “Elon Musk recently announced a new option that could potentially have the biggest impact of all — rockets.”

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TRANSIT ADVOCATES AND LOCAL OFFICIALS SLAM MTA COST OVERRUNS

NY1.com

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It’s not just the rising price of a subway ride that frustrates New Yorkers. There’s also the soaring cost of maintaining and expanding the system, which political leaders and advocates say the MTA needs to better control. Transit Reporter Jose Martinez has more.

They’re the diamonds of the city’s subway: three sparkling stations along Second Avenue.

They are priced like gems, too; the Second Avenue line is the priciest subway extension on the planet.

“We don’t need vaulted ceilings at the Second Avenue Subway,” said Assemblyman Bobby Carroll. “We don’t need public art installations. We need new signals, we need new subway cars.”

On Monday, elected officials and transit advocates blasted the MTA for what they called runaway costs on big construction projects.

The not-even two-mile-long Second Avenue line opened on New Year’s Day at a cost of nearly $4.5 billion, a price dwarfing similar transit projects in London and Paris.

“Aside from the excessive amount of time it cost to do it, it cost between four and ten times as much as a comparable subway would cost in comparable, well-developed modern cities,” said David Bragdon with the Transit Center.

Those gathered at City Hall called on MTA Chairman Joe Lhota to create an independent panel to study why the agency’s capital costs are so high.

“Let’s make sure the MTA is spending the money it has wisely,” said State Senator Michael Gianaris. “It is clearly not doing that right now.”

The first phase of the Second Avenue Subway cost $2.7 billion per mile. But a new line is being built for the Paris Metro at a cost of just $370 million a mile.

That’s just a start. With the MTA planning to eventually stretch the Second Avenue Subway from 96th Street into Harlem, the politicians and advocates say it’s important to control those costs now.

“We can’t wait any long for cost reform at the MTA,” said Councilwoman Helen Rosenthal.

The MTA claims it is working to contain costs, saying in a statement: “New York has some of the highest construction costs across all industries — which is exactly why the MTA’s new senior management team is laser-focused on this issue.”

The MTA adds it is constantly studying “best practices” to cut costs and that it already “aggressively” holds contractors accountable for delays.

But the cost of a new Long Island Rail Road terminal beneath Grand Central has been like a runaway train.

The MTA now projects the East Side Access project will cost $10.2 billion — about $6 billion more than the original budget.

Want to ride FEC’s Santa Train? Here’s how you can win two tickets

A South Florida-based non-profit is raffling off a chance to ride (and work) on the Florida East Coast Railway’s annual Santa Train, which will deliver toys to children at several stops between Jacksonville and Miami.

The Florida East Coast Railway Society says the train ride is a “once in a lifetime experience” for rail enthusiasts. The winners will get to ride in two of the FEC’s business cars — the St. Augustine and the Azalea — while working as one of Santa’s elves when the train stops at multiple locations during the Dec. 9 trip south from Jacksonville.

Florida East Coast Railway has been running the holiday-themed train for more than five years. Tickets are not available to the general public.Proceeds from the raffle will be benefit the FEC’s Toys for Tots campaign, the society said. Two winners will be chosen, and each winner can bring one guest.
The cost of the raffle tickets are: $25 each; 5 for $100 ($20/ea); 10 for $175 ($17.50/ea); 20 for $300 ($15/ea); and 50 for $500 ($10/ea). They can be purchased by clicking here.