Regardless of whether or not you want to consider the current domestic economy in a state of recession, there is little debate as to which companies have been getting hit the hardest. Just today General Motors Corp reported some numbers that could make anybody a little queasy (accounting background or otherwise). GM posted a $15.5 billion quarterly loss derived in part by a 20 percent drop in North American sales.
Not only are fewer individuals purchasing new cars due to a slumping economy but high oil prices are causing a massive drop-off in SUV demand. Lower demand means plunging prices for these larger truck-bodied gas-guzzlers (which have up until recently, accounted for a majority of the company’s profit margins).
So what’s an automotive giant to do? Why discount, discount, discount! The Number 1 U.S. automaker burned through an additional $3.6 billion in cash over this same period as it reduced its inventory of slower-selling vehicles in its slumping domestic market. Though not quite as dramatic, GM’s global auto sales suffered as well with a decrease of 5 percent (coupled with a $4 billion loss on international auto operations).
So what does the future hold for the struggling manufacturer? Greener ambitions through hybrids, flex fuel engines, and renewable resource designs. While GM (and other automakers) are at the drawing board attempting to jump on the trend as quickly as possible, many analysts predict that fiscal recovery from such endeavors will not become a reality until 2010 at earliest.
There are several types of on-board electrolyzers that are offered through small online companies. The performance of these devices range from modest to unbelievable. The fact is that hydrogen and oxygen produced from electrolyzer can increase mileage. How does it do this? Well its not from increasing BTU. Hydrogen is a much lower BTU fuel when compared to gasoline or diesel. However hydrogen has a much higher flame speed, and the extra oxygen allows for more complete combustion. So combine these two elements and you get better use of the gasoline or diesel. How much? Thats the subject of much debate in the tech community. My thought is, so what. Give me 5 mpg better mileage on my SUV and I’m happy.
Question is, why don’t the US or other manufacturers go to this type of ‘hybrid’ idea? A mass approach along this line would remove a HUGE amount of oil from going into tanks of cars, trucks, trains, planes, boats, etc. Lets face it, the drain on natural resources is not the light bulb but the transportation of people and products.