Does Detroit Matter?

I'm in Detroit this week, so let me pose the question to my readers, who appear to be very sharp and technology-oriented: does the survival of an American-owned auto industry matter to the American economy and its technology sector?

I think many of you will answer "no." If General Motors and Ford Motor and Chrysler fail, the Hewlett-Packards, Suns, Oracles and Microsofts of the world will just sell to Toyota and Honda. That seems to be the prevailing view among many American elites, on both coasts.

But the truth, I'm convinced, is that the survival of GM, Ford and Chrysler is important because they are such large end-users of technology producs. Cars have more semiconductors in them these days than space shuttles do. The software needed to run engines and allow for all-wheel drive, just to take two small examples, is complex and extensive.

Toyota and Honda and other non-American auto companies do buy some products from American tech companies, but not nearly as much as do the traditional Big Three. They favor suppliers from their home countries, which have established subsidiaries in America in many cases.

So what's your opinion? Does the survival of an American-owned auto industry matter to you?