Counterpoint: rail that doesn't run through urban areas is far less useful. There is a reason Amtrak is taking over the northeast corridor: it's tough to beat to convenience of being able to walk from your office in manhattan to your office in DC without ever leaving public transit.
However, CA-HSR chose the nearly the most complex and expensive route possible (even though they don't have a funding source), so we shouldn't make a direct cost comparison with Musk's route down I-5. HSR would also be much cheaper on the mostly unpopulated I-5 corridor. Also, the right-of-ways that Musk proposes to get into SF and LA are sketchy.
(Silicon Valley business interests wanted the HSR stations in San Jose & Mountain View, and apparently quite interested in using lower-cost areas such as Fresno for back-office activities. So while they will be impressed by Hyperloop's techno-wizardry, they may actually prefer the HSR project.)
