Parallel Systems has announced plans to commence its inaugural autonomous rail commercial pilot this month, following the receipt of approval from the Federal Railroad Administration (FRA).
The pilot will involve the deployment of autonomous battery-electric railcars along a 160-mile route connecting two railroads in Georgia.
This route will link the Port of Savannah with key distribution centres serving the East Coast, potentially benefiting southern Georgia by reducing highway congestion and providing improved freight transport options.
The autonomous battery-electric technology is designed to enhance the operational capabilities of railroads by facilitating shorter-route transportation, thereby alleviating congestion on major roadways.
The Parallel freight system operates by allowing small groups of ten to 30 vehicles to function in a platoon without physical couplings. This technology is expected to enhance the agility, safety, and cost-effectiveness of railroad operations.
Following the FRA's approval, Parallel Systems will collaborate with Genesee & Wyoming Railroad (G&W) to initiate the commercial deployment of its railcars.
The company has also completed a Series B funding round, raising $38m, with participation from Anthos Capital, Collaborative Fund, Congruent Ventures, and Riot Ventures. To date, Parallel Systems has secured approximately $100m in total funding.
The funds raised in the latest financing round will be allocated towards the commercialisation of Parallel Systems' technology in partnership with strategic railroad operators in both the US and Australia.
Parallel Systems founder and CEO Matt Soule said: “Federal Railroad Administration approval and closing our Series B funding round are two critical milestones for Parallel Systems.
“Together with our strategic partnerships within the rail industry, Parallel Systems is now poised to fully commercialise our battery-electric rail system, starting with the FRA-approved project in Georgia.”
Parallel Systems currently has a backlog of more than 300 autonomous battery-electric vehicles ordered by leading railroads and anticipates launching initial commercial operations by 2026.
It is also in the process of scaling production of its Generation 3 vehicle, along with the necessary train control systems and autonomy software.
In partnership with Union Pacific Railroad, the company has conducted tests to ensure the new technology's compatibility with Positive Train Control, ensuring its safe integration into the national railroad network.
In December 2023, Parallel Systems first demonstrated its platooning operation, where individual railcars connect through bumper-to-bumper contact.
