GM slashing product development funding; "no impact" on Volt program
Conflicting stories out today on the fate of new vehicle development at GM. AutoNews is saying that the General's cash crunch is means it is "postponing nearly all of its spending on product development in 2009 and 2010." AutoNews' unnamed sources also said that "nothing has been officially canceled, but nearly everything is delayed."
Meanwhile, over in the Detroit News, the word is that GM is "downplaying" the negative-sounding AutoNews report. GM spokesman Tom Wilkinson told the News that "We think [AutoNews is] probably overplaying this a little bit." The good news from both articles, though, is that the Volt seems to be safe, no matter what is happening to the rest of GM's upcoming programs. GM's Rob Peterson confirmed to AutoblogGreen that the cuts will have "no impact" on the Volt program at this time. Full speed ahead, apparently.
[Source: Rob Peterson, AutoNews, Detroit News]
Reader Comments (Page 1 of 1)
ziv 6:43PM (10/29/2008)
GM slowing down the development of the Volt would be the automotive equivalent of eating your seed corn. It gets you through the next month, but you are going to starve before you get the next crop in.
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TX CHL Instructor 9:24PM (10/29/2008)
GM ate its seed corn long ago. They have a large enough negative net worth that they cannot survive as a company without a massive taxpayer bailout.
GM's collapse would definitely hurt a lot of people, but not as many (or as much) as the result of the government artificially propping up a failed business model. It would be nice if the government sent the message that "too big to let fail" is not a viable business strategy.
gorr 8:07PM (10/29/2008)
Maybe GM just realized that they always end-up destroying their own research and development works, so why not stop them before spending tons of money like the ev1 and corvair and hydrogen fuelcells. Stick with your ice engines and maybe spend 10 000$ for a technician consultation that can show you how to fit a natural gas tank to a yukon s.u.v.
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realistic_idealist 6:24AM (10/31/2008)
maybe everyone should just get over gm. screw 'em.
it's time for a refresh of the industry just like the airlines...
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James 7:29PM (11/06/2008)
R&D for what? Nameplates? Cupholder locations? There has been no new thinking in decades.
GM needs to do R&D on alternative fuel cars, powered by renewable energy on the customer's rooftop. They need to get their quality (those red dots in Consumer's Reports) above Japanese manufacturers. They need to see themselves as personal transportation of the oil-free future.
Putting a new name badge and coat of paint on the same old internal combustion engine vehicle just makes me send my fuel dollars to fundamentalist dictators in Saudi Arabia, while destroying my grandchildren's planet. In a way, GM is asking us to fund terrorism and destroy the future planet, while driving poorly built, American made muscle cars.
Maybe it's too late for GM. Maybe they'll sleep through the revolution. But I don't think so. I think they will stop producing their standard fare: low quality gas guzzlers, and embrace the future: high-quality hybrids and electrics.
Global Warming is GM's big opportunity to shine again. I'm glad they are producing the Volt, and I plan to buy one. It'll be my first American car. My father used to say "what's good for General Motors is good for the country." If they wake up and commit themselves to an oil-free future and a cleaner planet, that old saying might become true.
And while they are at it, how about a roof-mounted charging system that fills a fuel cell during the day, and transfers the energy to my Volt at night? All from GM, the leader in alternative energy vehicles.
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Thomas Casey 4:32PM (11/06/2008)
Studebaker went under when I was a kid. Somehow the galaxy got through it.
GM thought it was funny to dump lousy cars on the rubes for decades. What goes around comes around.
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