We WILL continue to have an automobile industry in this country regardless whether it is called General Motors, etc or something else. Against the current backdrop of economic uncertainty, we hope that the folks designing and making new cars here in the U.S. are faster in making them with lighter weight materials and other innovative changes. These changes need to be ramped up fast. Saying you’re going to bring out an innovative car like the Volt in 2-3 years just doesn’t cut it.
Thomas Friedman has an interesting article out from a couple of days ago where he makes the case that the new energy efficient cars will come from some where soon. If Detroit doesn’t produce them, then folks like Shai Agassi with his Better Place company will. The message is that our auto industry better “do it” (and “do it” fast) before it has it “done to it.” And for those who think that a GM can just buy a Better Place start-up, consider that many folks may be drawn to such a start-up because they believe the small entrepreneur will be “driven” (pun intended) to produce a better product (or service – see the article). Then normal economic theory says that once the conglomerate takes over, economies of scale come in to play. But given the labor rates and benefit costs that these bigger companies have, that theory may not be working like it used to work. Detroit has the knowledge to quickly build a light-weight, fuel-efficient, carbon fiber car, but if they need guidance they can check out this Amory Lovins post (with link to video) over at Green4Life.org.