Midnight Trains Project Abandonment Highlights Financial Challenges for New Railway Entrants
The ambitious Midnight Trains project, which aimed to establish 'comfortable' night trains linking France to major European cities, announced its discontinuation on Saturday. The decision came due to the lack of financial capacity, exacerbated by the absence of support from public authorities. The project's leaders made the heart-rending announcement on their X account, stating, '#heredieatnight. Midnight Trains passed away surrounded by loved ones and friends.'
The private railway company had envisioned launching night trains with private rooms that would connect Paris to cities 800 to 1,500 km away, such as Milan and Venice. This initiative aimed to provide a greener alternative to medium-haul flights. Despite its innovative concept and initial backing from around forty 'business angel' investors, the company faced significant financial hurdles. The failure to secure a second round of funding to acquire trainsets and initiate their first test link led to the unfortunate cessation of the project.
Adrien Aumont, one of the project's leaders and previously co-founder of crowdfunding platform KissKissBankBank, explained the economic disinterest in the railway sector. 'No financial player has rail in their perspectives today,' Aumont stated, highlighting the need for public authority incentives or mechanisms to de-risk investments, similar to those available in renewable energies and batteries.
Midnight Trains' leaders also emphasized the role of public authorities in concentrating efforts on energy-related initiatives, with a notable preference for clean aircraft over improving existing railway infrastructure. They criticized the lack of genuine competition in the rail market, suggesting that it remains largely closed off to new entrants. They had hoped that the current French government's pro-start-up stance would extend to supporting innovative companies in the railway sector, but this expectation did not materialize.
The termination of the Midnight Trains project underscores significant financial and regulatory barriers faced by new railway start-ups, serving as a cautionary tale for future ventures seeking to disrupt established markets without substantial policy and economic support.
- The concept behind Midnight Trains was not just about offering a novel travel option, but also aligning with contemporary environmental goals. By providing a viable alternative to short and medium-haul flights, the project aimed to reduce the carbon footprint of European travel.
- In their efforts to garner support, the entrepreneurs behind Midnight Trains engaged with various stakeholders, highlighting the economic and sustainable benefits of their proposal. However, without a structured framework to facilitate new entrants in the sector, their vision remained out of reach.
- The shutting down of Midnight Trains could be a significant loss for sustainable transport initiatives. It highlights the critical need for integrated economic policies that support innovative approaches in traditional sectors like railway transport.