Re: What does OnStar do if... - Saab 9-5 Bulletin Board - Saabnet.com
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Re: What does OnStar do if...
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Posted by Guy (more from Guy) on Tue, 4 Sep 2001 07:13:44 Share Post by Email
In Reply to: Re: What does OnStar do if..., russdog, Mon, 3 Sep 2001 22:06:13
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First off, I really have no idea whether Onstar is a private or public company, whether they're showing a profit, whether they're getting government subsidies, or whether they have competition out there.

I guess my whole point was, I would think Onstar is a fairly new company --and I could imagine that the entire system they use could be pretty darn expensive. If they were expected to watch out for everyone, that has the potential to overtax their present infrastructure, necessitating their upgrading of that infrastructure, at a cost to them. Without additional revenues from those that cause this need for upgrade, that sounds like a business model doomed to failure.

Since you introduced politics, I'm sure I sound like a big business Republican, but I'm not. But I could see a world where these Onstar type companies are as common as your present choice for long distance or cell phone services, at which point there will probably be government regulation that will force some level of monitoring of all vehicles in exchange for licenses, exclusive area coverage, etc.

To my mind a company needs to get itself on solid ground before it can afford to go the altruistic route -- perhaps against your philosophy. But I know if I were an investor in a company that was not showing a profit and was giving its services away for free, I'd be pretty upset. The fact that this service happens to include potential for life and death situations, makes the topic a bit more important perhaps, than sheer economics.

It came with the car, I liked the idea, and I'd probably stick it in any car I get just for the convenience of having someone give me directions without me having to look at a map and drive at the same time. I can afford it, so I won't begrudge the charge. Should my tax $ go towards subsidies today or in the future to create a network where the 'bare essentials' are provided free of charge to the world at large, well I could think of worse things my money probably goes towards today -- but no more politics, please, and I'll stop my stupid econonomics talk (21 years on Wall St will do that to you)!

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