Out-of-the-Bottle Thinking?

As if the loss of market share and pre-eminent status to Toyota wasn't enough humiliation for Detroit's Big Three. Here's further proof that the world's largest car-makers - who've enjoyed iconic status in pop-culture and in industry for decades - are in danger of forever being relegated to the scrapheap of un-coolness.

The car on the left is the Loremo (Hat-tip to Caderageous) - a "green"vehicle in race-car disguise. Apparently it can get 145 miles (and multiple exclamation marks!!!) per gallon. And its going to be available not 20 or 10 or 5 years from now. Its hitting the markets next year. And it costs only about $22,000 - not that much more than a fully loaded Honda Civic and several thousand dollars cheaper than what my Prius cost me. Click here to learn more about the car.

The Detroit Three can't even complain of being left behind by disruptive new technology - the Loremo is NOT a hybrid (though a hybrid version may be in development). Its NOT a hydrogen car. It runs on diesel - you know that high-tech new-fangled fuel thats powered trucks and tractors for eons. The efficiency comes from "engine efficiency, low weight, and minimal drag to boost the fuel-efficiency". Wow - who would've thought that those things could ever work.

The power of the Loremo is really in the breaking of the mental barrier around fuel-efficiency, the barrier which said that 45mpg was about as good as it gets. The Loremo could be the Roger Bannister of the automotive industry. Now that one car has gotten more than 100mpg - I wouldn't be surprised if every automaker worth their salt comes up with several more super-high efficiency models like this.

Of course, the other potential loser in this case in the long run is the oil industry. While this isn't disruptive technology, its impact could definitely be disruptive. Whats going to happen to all those billions of dollars being spent by the oil industry on exploration and millions of tons of new refining capacity? You'd be surprised how quickly car populations can get replaced in cost-conscious countries - which includes nearly every nation from the US to India and China. The days of ExxonMobil's $40bn in profits might soon be over - a quintupling of fuel-efficiency would definitely slow or reduce oil demand and prices.

Of course - its much too early to celebrate the end of oil (or the arrival of a powerful tool in the fight against global warming) - the Loremo may yet mysteriously develop design flaws or have safety concerns raised about it, or it may be bought out by competitors who may or may not deem it to be a viable project to pursue. But heck - its Friday evening - always a good time to pick up that beer-stein and cheer on an idea that has taken way too much time to arrive.

And one that seems to be the outcome of some great out-of-the-bottle thinking :)