jacamar

Google, Microsoft, and Yahoo as Ford, GM, and Chrysler

Difference is that their is a significant mental resource needed to compete with the GOOG and MSFTs of the world. The auto was a manufacturing industry that and upstart like the Korean OEMs and even the Jananese OEMs a few decades ago could enter the market with advance manufacturing capabilities if they could reaise the capital. Also the only real problem with the Detroti OEMs are their legacy costs (union contracts and retirement cost). Without them they would not be in trouble. Goog and Softy do not have retirement plans. While employees are treated well today, both can adjust as needed without paying employees not to work. For instance, each could stop matching in 401k's and drop bonuses tomorrow if needed to generate cash.

All industries go through cycles and I don't disagree with your assertion that we don't know what things will look like in 10-50 years. I will say that while the big 3 are in trouble and the auto industry as a whole looks down. GM, etc. were loosing market share with the times were good.

I would qualify everything and say there is no replacement for good management. (aka Yahoo's management cost their shareholders $$$$$$$ and probably saved MSFT shareholders $$$$$$$) So we had two bad management teams. Yahoo just turned out worse.

By the way. Who is going to bail out the oil companies now that they are loosing about $4/bbl processing crude oil? Suggest that they buy gasoline and diesel fuel and recombine it to make crude oil and resell it at a $4 profit. New business model.

MSFT is underpriced.

Impact of GM Destroying the EV1

Get a life. The EV1 was never designed for commercial production. The cost was out of sight. Even if mass produced it would have cost over double what a comparable gasoline powered car would cost. As for CO2 emissions, where does the electricity come from to charge the batteries. Much if it from coal. Also efficiency of electricity usage was a challenge. Nothing is free. The EV1 sounded good on paper, similar to hydrogen, solar wind, biofuels, but nothing is "free". All leave some sort of environmental foot print. Yes people are paid to count dead birds under wind farms..... We are an energy intensive country and will be as long as we want to be a world power. Some would like us to go back to the stone age, but I would prefer to develop coal gasifiaction, oil resources and promote conservation while developing a nuclear infrastructure. Drive a reasonable car that gets 30-35 MPG and rent a SUV or minivan for you trip to the beach. The ultimate answer in the next 50 to 100 years is nuclear. We need to start now. I will not be here, but my children and grandchildren will be.

Also quit harping on GM. They had/have to do something. With all of the legacy costs they have few options.

GM Slashes Benefits: One Bad Decision After Another

Ok GM is in the survival mode. What do you think pension benefits will look like if GM goes under??? These are tough decisions, but during tough times tough decisions need to be made. The big three are getting killed by legacy costs, too many platforms and vehicels hat people don't want to buy. While lots of maney was made form SUVs/Pickups, did the companies have a stategy for what would happen if gasoline went for $1 to $2 to $3 to $4 per gallon. I doubt it.

We have come to focus on today and tomorrow not next week and next year. Maybe this will bring a awakening in the US that we need to look 1-5-10-20-50 years down the road. I heard yesterday a candidate in Virgina opposed to offshore drilling because it would not yield any revenue to the state untill 2030. So let's wait another 10 years and then the revenue will be seen in 2040. I think we need to start thinking about our children and grandchildren and get our acts together. Hydrocarbon fuel is still king and will be for many years so lets get going developing our resources. Nuclear is next so let's start building plants, they should start coming on line in 10-20 years. All the other nickel and dime stuff we are doing with biofuels, wind, solar are neat, but will not make a dent in demand.

Bottom line is to conserve and to develop new high output energy sources. By they way, lets liquify some coal now that the EPA has agreed to sequestering CO2 emissions. South Africa has been doing this for years.

Sorry for the divergence, I just get tired of people complaining and not getting on with business. By the way what company is for practical purposes sold out of hybrids????