Investments amounting to billions of euros allocated for the acquisition of approximately 65 high-speed trains.
German Rail Startup Flix Orders High-Speed Trains Worth €2.4 Billion from Spain
In a major move to expand its long-distance rail services, Munich-based Flix has placed an order worth up to €2.4 billion for up to 65 new high-speed trains from Spanish manufacturer Talgo. Siemens will supply the locomotives, as per Flix's announcement.
The deal, worth billions, has captured the attention of the Federal Minister of Transport, indicating potential government support for private sector investments in rail expansion.
Flix, a competitor of Deutsche Bahn, plans to significantly increase its market share with this investment. The company currently operates only 13 trains, mostly through partner companies.
Of the 65 trains, 30 have already been confirmed, with an option for an additional 35. The delivery date, however, remains unclear. The new trains, based on the Talgo 230 platform, are designed to reach speeds of up to 230 kilometers per hour and will boast barrier-free access.
Commenting on the strategic move, Flix CEO and co-founder André Schwämmlein said, "We are committed to a long-term strategy with Flixtrain and aim to significantly expand our offerings in the coming years." He adds, "We want to increase our market share, but also expand the market itself."
Meanwhile, German Transport Minister Patrick Schnieder (CDU) expressed his support for the investment, stating, "It's encouraging to see a German tech company invest at this scale in the rail market."
Flix's expansion strategy is aimed at capitalizing on the growing demand for fast, affordable, and efficient rail travel. The German high-speed rail market is projected to grow by 45% by 2030, while the broader European market is set to grow annually by 4-5%. The new trains, with a universal design for cross-border operations, will facilitate rapid network growth and connectivity beyond Germany's borders.
The investment signifies Flix's commitment to rail expansion and its ambition to become a significant player in the European rail market. The rapid scaling of high-speed offerings is expected to leverage the growth potential in the market, aligning with the German government's commitment to invest in rail infrastructure for sustainable expansion. With the new fleet of modern, high-speed trains, Flix aims to improve customer experience, operational efficiency, and expand its market reach throughout Europe.
What technology will Flix be investing in to expand its market share? The investment by Flix is in the development of high-speed trains, aiming to capitalize on the growing demand for fast, affordable, and efficient rail travel, and partaking in the future growth of the European rail market.
