Hyperspace is a temporal nexus caused by Third Energy anomalies. In earlier events such as the incident at the Ibis Island and Edward City, space from one time would be "exchanged" with space from another, however, this does not always occur. In Hyperspace, random space is taken from its present time, but no end point for the "exchange" is given, forcing it into the nexus, instead.
The MTHR computer system attached to the Noah's Ark Plan team malfunctioned when it was to send the dinosaurs back to their own times, instead sending them into Hyperspace along with Mike Wired; Paula Morton and random objects taken from other times such as the aircraft carrier, USS Enterprise.
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