Rick Wagoner, the CEO of General Motors gave a keynote speech at this year's Consumer Electronics Show, marking the first time ever a leader from the automotive industry joined the likes of Bill Gates, Steve Jobs and other tech luminaries to address this audience.
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The modern automobile is a technology and electronics marvel. The electronics content of the typical car has increased by almost 50 percent over just the last five years. Cars now incorporate such dashboard standards as radios, DVD and CD players, GPS devices, navigation systems and ready-to-deploy airbags. Your car won't start, accelerate or stop without the aid of electronics.

In his remarks, Mr. Wagoner made note of one particular GM innovation which offers unprecedented consumer benefit. OnStar is the most comprehensive in-vehicle security, communications, and diagnostics system — available on more than 50 GM models. The transponder provides 24/7 connectivity to a live advisor, offering such services as vehicle diagnostics, navigation, automatic accident notification, emergency roadside services, stolen vehicle location assistance and remote door unlock.

The next step for OnStar is to use the transponder technology to connect cars with other cars... "to keep them from connecting physically." Today there are sensors and cameras to help keep drivers alert and avoid accidents when backing up, changing lanes or using cruise control. The transponder would do this and more --not only reducing accidents but also better managing traffic flow as your car would automatically communicate with a line of cars (transponder to transponder or V2V) a half mile ahead stuck in traffic.

From the almost here and now, Mr Wagoner then took a big leap into the future imagining a time when electronics and technology would allow for "autonomous" driving -- meaning the car would essentially drive itself. Wouldn't it be great, Wagoner proclaimed, if you could do your email, eat breakfast, apply make-up, read the newspaper or watch a video while commuting to work. Unfortunately, most of this occurs right now in cars unaided by technology, usually between the weekday hours of 6-9. And a low-tech alternative already exists. It has assisted commuters for about a century. It's called mass transit or commuter rail and bus lines...

Back to the here and now, GM is in sad shape today. The once proud industrial giant is about to lose market share leadership to Toyota and due to continuous red ink, its market cap has shrunk to under $13 billion. Will consumers really trust GM to provide the innovation necessary for "autonomous" driving? While OnStar is without a doubt a winner, the evidence is weak that GM could reliably and cost effectively provide the kind of next generation technology Wagoner invisioned.