Hyperloop One Replaces Co-Founder Brogan BamBrogan with Josh Giegel

Hyperloop One Inc. on Friday announced an executive shake-up, replacing one of the startup's founders with its vice president of engineering, as it faces a critical juncture in bringing its high-speed shuttle-transport technology to life.

Hyperloop One said it has promoted Josh Giegel to president of engineering and added the title of co-founder. Mr. Giegel, who joined the company in November 2014, is taking over from Brogan BamBrogan, who as chief technology officer and co-founder was the public face of the company, especially in recent tests of its technology.

The reason behind the shake-up was unclear. A Hyperloop One spokesman said Mr. BamBrogan "has decided to take a step back from Hyperloop One. We appreciate everything that he has done to put us on the path to creating the world's first Hyperloop."

The executive changes are an unexpected sign of turmoil, as Hyperloop One races to commercialize the tube-transport idea, first floated by billionaire inventor Elon Musk in a 2013 paper: transporting people in low-pressure tubes at 760 miles an hour, nearly the speed of sound.

The company has committed to build and test a complete hyperloop by the end of the year and has announced its goal of building a fully operational hyperloop by 2020. In May, Hyperloop One conducted the first test of its propulsion technology in the desert near Las Vegas.

Mr. BamBrogan played a highly-visible role at the event, alongside Shervin Pishevar, the duo the company previously identified as its co-founders. They were joined by Rob Lloyd , a former Cisco Systems Inc. executive whom they hired as chief executive last year. Mr. Pishevar, who remains executive chairman, didn't respond to a request for comment.

Hyperloop One has recently signed deals to explore bringing its transport system to places such as Russia, Switzerland, Dubai and the Port of Los Angeles.

Mr. Giegel will now be the one responsible for making the technology work as promised. He has moved up the corporate ladder at Hyperloop One before.

He joined as vice president of design and analysis and in March was promoted to senior vice president of engineering, according to his LinkedIn profile. Previously, Mr. Giegel held senior roles at Mr. Musk's Space Exploration Technologies Corp. and Virgin Galactic LLC. Hyperloop One said he would join the board of directors.

The company didn't say why Mr. Giegel is now being identified as a co-founder, when he previously wasn't mentioned as such.

Write to Nathan Olivarez-Giles at [e-mail] and Georgia Wells at [e-mail]

(END) Dow Jones Newswires

July 01, 2016 16:25 ET (20:25 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.