Airfoil Public Relations

An Evening with Uber Entrepreneur Elon Musk

First of all, the use of the word “uber” was chosen by the Churchill Club.

This month, the Churchill Club hosted an event at Microsoft’s campus in Mountain View, Calif., that featured a casual conversation between Elon Musk, founder of Tesla and Space-X, and well-known Silicon Valley reporter Michael Malone. The evening provided a look inside the mind of a great entrepreneur/inventor and his two companies.

Despite what people think of Musk, at the end of the night I couldn’t help but marvel at what he has accomplished in 37 years.

Born in South Africa, he immigrated to Canada at 17 to avoid military service. After graduating with degrees in economics and physics, he was accepted to Stanford Graduate School, only to drop out two days later and start a company with his brother. The company, Zip2, was the first to bring door-to-door directions to the Internet and eventually sold for $307 million, cash. After the sale of Zip2, he went on to co-found PayPal, which was sold to eBay for $1.5 billion.

Musk is mainly known, at least right now, for Tesla, which is building electric vehicles that run on lithium-ion batteries. The company, and Musk acknowledged this, faced some very troubling times where they nearly had to close the doors and abandon the project. However, because he decided to take over the reins, he was able to help the company make a U-turn and head in the right direction (pun intended).

With production of the company’s $100,000+ Roadster in full swing and close to being sold out, Tesla is shifting from a troubled company to what could be an industry pioneer. To further validate the shift, Musk just announced the Tesla “S,” a $50,000 sedan model.

If developing what could be the first mass-manufactured, electric vehicle wasn’t enough, what about being awarded a $1.6 billion contract from NASA to develop a new rocket system to deliver cargo to space?

Musk’s company, Space-X, is scheduled to test its first rocket, the Falcon-9, this summer with plans for its first operational mission at the end of 2010. In addition to the Falcon-9 rocket, the company will be testing a Space Shuttle replacement at the end of the year called the Dragon Spacecraft. Musk is hoping that the Dragon Spacecraft will provide the capability of returning to the Moon and eventually landing on Mars. *Side note: Musk has a bet with Malone that Space-X will land a man on Mars by 2020.

What’s next for him? Musk said he hasn’t thought about it too much, but eventually he’d like to tackle fusion, develop new technology for more efficient and durable highways and/or possibly building a supersonic electric plane.

However, probably the best non-technical question from the audience was regarding how Musk decided to get into the space industry. Paraphrased, he wanted to benefit mankind in three different ways: Internet, clean technology and space.

Safe to say, at least for the moment, he is well on his way to accomplishing that goal.

-- Matt Wolpin

Green technology: Bubble or emerging opportunity?

President Barack Obama recently unleashed his small-business stimulus plan. What’s in it for you? You should probably know, since more federal capital is being made available for low interest rate loans. A recent Bloomberg piece provides more information on the stimulus package and how it applies to small businesses. 

How, if at all, will you take advantage? Is it a good idea for the government to keep pumping money back into the market, or would increased tax benefits/breaks be more affective?  What are the implications of the stimulus plan on emerging market sectors such as green technology?

Word on the street is that a lot of pent up market potential exists for green technology because there’s not enough capital to get the companies and projects off the ground.  There is debate about whether or not we are actually in a green technology bubble right now, with some outlets arguing that a bubble cannot exist because of the recent lack of said capital.

Will the stimulus open up that capital and lead to a green tech revolution?

-- Eric Rodriguez and Andy Kill

Plugging-In to Advanced Battery Manufacturing in Michigan

Earlier this month, I attended the Center for Automotive Research (CAR) Advanced Battery Manufacturing in Michigan breakfast, featuring presenters from General Motors, Compact Power, University of Michigan/Sakti3, DTE Energy and the Michigan Economic Development Corporation.

While I was sitting in the sold-out, standing room-only conference room at the Marriot Eagle Crest in Ypsilanti, I thought how inspiring it was to hear Michigan-based businesses and Michiganders be truly excited about the state’s prospects to bring advanced battery businesses and jobs close-to-home. Literally each presenter one-upped the preceding speaker on how “despite the economy, I have the best job in…” automotive, higher education, state government affairs, etc.

With the Obama administration’s efforts to provide stimulus money and loans to advanced battery manufacturing in the U.S., it is abundantly clear that advanced battery production is not going away and that Michigan is making all the right moves to attract companies in this growing industry and assist OEMs and suppliers currently doing business in-state. In fact, Martin Dober, vice president, new markets unit, for the Michigan Economic Development Corporation, presented various Michigan state tax credits for companies who manufacture advanced batteries in the state, including vehicle manufacturing, cell manufacturing, and pack manufacturing credits. Kudos to the State of Michigan and to the MEDC for stepping up!

I understand to have consumers shift from driving petrol-based cars to electric vehicles is going to take time and needs support from federal government, state government, universities, businesses, and consumers. From attending this event, listening to the presentations, and talking to attendees, I know the support is there for advanced battery manufacturing in the U.S. and in Michigan. Now we just need time to let this grow.

-- Allen Arnold

Airfoil sponsors EcoTuesday’s launch in Detroit

EcoTuesday is launching a new chapter in Detroit and Airfoil is proud to be a sponsor. EcoTuesday, held on the last Tuesday of each month, is a growing, national networking organization for environmental and sustainability professionals.

Michigan is making headway in transforming its image from rustbelt to renewal. Detroit has been in the spotlight recently with the North American International Auto Show’s focus on alternative energy sources for vehicles, and Gov. Granholm recently announced tax breaks for battery manufacturers. Grand Rapids has been in the news as the greenest city in the U.S.

Jeremy Eckhous and Curt LaLonde, partners in element-e, formed the EcoTuesday Detroit chapter in December 2008. The inaugural meeting is scheduled for Jan. 27 at Fifth Avenue Billiards in Royal Oak.

Todd Holloway of Civil & Environmental Consultants will talk about “Hey, are those Grandma’s Earth Shoes? ...” a chord-striking look at the history of Earth Day and sustainability.

The new chapter also has events lined up for February and March. In February, the group will hear about greenwashing from Petie Davis of the National Sanitation Foundation.  In March, Doris Hollins from UniSolar will provide some insight into the company’s success in converting a consumer appliance plant in Greenville.

January’s event is $5 online and $10 at the door. Doors open at 6 p.m. and the event is 6:30–9 p.m. We hope to see you there.

-- Rich Donley

Take Another Little Piece of Our Heart

One more thing to consider amid all the financial maneuverings surrounding the Detroit 3 is, if we don’t help these companies survive, what happens to Detroit’s image as the heart and symbol of America’s auto industry?  The question became even more relevant with the election of California Representative Henry Waxman as chair of the House Energy and Commerce Committee, replacing the venerable current chairman, Michigan’s John Dingell. 

This shift in the House may mirror an impending shift in power within the auto industry from the Heartland to the West Coast (where global warming will dominate emission standards) and the South (where transplant factories continue to proliferate).  If the erstwhile Big 3 devolve into the Bottom 3, it will be the foreign transplants who dominate the manufacturing sector and the marketplace from towns like Greer, S.C.; Georgetown, Ky.; West Point, Ga.; Canton, Miss.; and Lincoln, Ala.  Honda’s American operation is headquartered in Torrance, Calif.  Toyota is headquartered in New York City and, though its Michigan operations employ 583, it also employs 107 in California and 36 in Arizona.  Kia and Mazda manage U.S. operations from its base in Irvine, Calif.  Nissan’s new North American headquarters is in Franklin, Tenn.  BMW, with U.S. headquarters in New Jersey, focuses automotive operations on its plant in South Carolina.

It’s clear to see that, in the auto industry, “transplant” refers not just to the implanting of foreign facilities but also to a removal of the industry’s heart, replacing it with economic pumps operating from unfamiliar recesses of our national corpus.

While this redistribution of wheels may be a great boon to communities that have long been overlooked by developers, it would mark the end of Detroit as the magnet for the magnates of the automotive world.  Suppliers would flock to distant parts of the country to be close to their customers, packing up the industry’s top minds to transport them to the hinterlands as well.  We stand to lose the close-knit core of innovators who until now have functioned as a rhythmic heartbeat resounding within the golden triangle of Detroit, Dearborn and Auburn Hills.

The new, scattered focal points are likely to require more duplication of effort, produce less sharing of ideas, and restrict more building out and onto the best futuristic concepts.  The results could be many new ways of approaching automotive challenges—or much more frustration in reaching our future goals.  A very, very different U.S. auto industry indeed.

-- Steve Friedman

Beijing Olympics – Feeding My Inner Patriot

I have no idea why I feel so compelled to watch the Olympics this year. The 2004 Athens Olympics went by in a flash and I don’t recall watching one event. However, I have been glued to the Beijing Olympics since I DVR’d the opening ceremonies. From former Ann Arbor resident Michael Phelps race for Olympic perfection to Keri Walsh losing her wedding ring in the sand to the age of the Chinese women gymnasts, the Beijing Olympics certainly has not been short on storylines and excitement.

I find myself amazed that when I was a kid, the thought of the Chinese, Russian, and even the German team competing against the U.S. was like something out of Rocky IV. Now, the Olympics are in China and the entire sorld is glued to the television watching amazing athletes compete in sports that people, at least in the U.S., never watch. I mean who has ever watched trampoline? I sure haven’t, but I can’t wait!

Even international conflicts have impacted the Olympics. U.S. men’s speedskater and Winter Olympic gold medalist, Joey Cheek, was not allowed to attend the games because the Chinese government revoked his visa as they thought he would protest Darfur. A couple days into the games, Russia decided to enter into a conflict with the Republic of Georgia. The in-laws of the coach of the U.S. Olympian men’s volleyball team were attacked in an apparently random incident in Beijing. One was killed, the other injured.

The Beijing Olympics have been nothing short of compelling. I am anxious for more and can’t wait to hear additional commentary from Bela Karolyi and Bob Costas over the next couple of weeks. The excitement of international competition and increase in U.S. pride has conjured up my inner patriot.

Go red, white, and blue!

-- Allen Arnold

One Small Voice of Business

I hope that Daniel Howes and Nolan Finley of The Detroit News – among numerous other Detroit journalists – take comfort in this post, which seeks in some small way to make a big noise about Detroit Mayor Kwame Kilpatrick, unlike the leaders of area big businesses and so-called business advocacy groups who have been vacuously silent and have yet to say a word about Mayor Kilpatrick’s continued self-destruction and its fiercely negative impact on this region’s business community.

As one owner of a small and thriving business in metro Detroit serving several clients in and around metro Detroit, regionally and nationally, I wish to let the Mayor know that he is hurting my business by staying in office due to the negative reputation he continues to cast on our community.  Please, Mayor, hear me:  GO AWAY NOW!

There is nothing to be gained (but his own personal satisfaction) for the Mayor to remain in office, and he should put himself and the Southeast Michigan business community out of our collective misery by stepping down.  Our state and region continue to be mired in a prolonged and intractable negative spiral, financially and reputationally, which worsens daily with each and every Mayoral blunder.  And I have to wonder why not one prominent business person other than Dave Bing has yet to utter a single word of admonishment about the Mayor’s continued abhorrent (and illegal) behavior.  As members of Southeast Michigan’s business community, are we that complacent?  Come on, people!  You can’t really think this is normal!  Do you all have laryngitis?  Someone help me understand.

It disgusts me that a group of business leaders actually spent the energy and time to try to negotiate an “out” for the Mayor, as if somehow a coy business-like transaction would entice Hizzoner to exit the position, especially since not one of those same business leaders was even in a position to vote for the Mayor in the first place.  What’s even more sickening is that the Mayor apparently considered the proposal and turned it down!

Southeast Michigan’s business community MUST move forward.  To continue to allow Mayor Kilpatrick to affect lasting and irreparable damage in the midst of tremendously challenging economic times is tantamount to condoning his actions. I call on other small business owners – and indeed, business leaders throughout Michigan – who hopefully have the courage and the confidence to say what is on all of our minds!  Join me in calling for this nightmare to end! 

-- Lisa Vallee-Smith

Helping others with environmental awareness

In honor of Earth Day, here’s a fascinating story about a Michigan couple who not only go green at home but find opportunities for their local school, too.

Kathy scours Web sites looking for state, federal and foundation grants. Her grant-writing abilities have brought Laker schools a composter; wind turbines; a science lab where kids learn how to make their own wind turbines; grants for a turbine; solar panels that track the sun's movement; a new biomass boiler for the superintendent's home; processors to make biodiesel and seed oil, and a program to use 20% biodiesel on buses and retrofit old buses with equipment to clean up their diesel emissions.

-- Tonja Deegan

Monopoly’s meant to teach money and math, not plastic

This morning I saw a Monopoly game commercial which by itself isn’t so different. Although I suspect Monopoly hasn’t bought traditional advertising in a very long time. When is the last time you saw a commercial for Monopoly?

Then I listened a little closer and saw that this edition was actual the ‘electronic banking’ version of the game where players use a credit card style machine to track and count the money for them.

Why is this an upgrade to this game? Are we teaching our children early to use credit cards? Part of the reason my husband and I play monopoly with our children is for the experience of winning and losing money but most importantly -- counting money. Although I’m sure Monopoly’s newest version was well-intended (and just in time for the holidays), I don’t intend on buying it for my family!

Jean Chatzky, financial editor at NBC’s Today show, just wrote about this as well:

“We pay our bills online — often from work. Kids have no idea where our money comes from or how it moves. These new games just exaggerate those differences. When kids count Monopoly money, they not only get a lesson in math, they get the pit in their stomach when they are out of big bills and down to only $5’s and $10’s.”

Also spend a minute to click over to the site and see the tips she has for credit cards and kids.

-- Janet Tyler

Living on the sun

Anyone who doubts the validity or impact of global warming might be swayed by spending a couple weeks of any August in South Carolina.  This August, for instance, cooked up a record 14 straight days of temps between 100 and 108.  This is your brain; this is your brain on sweet tea.  I swear the mockingbirds were spontaneously combusting and whole fields of Bermuda grass transmogrified to shredded wheat.

What you may learn by spending a fortnight feeling as if you were living on the sun rather than in it is akin to Mark Twain’s observation that “a person that started in to carry a cat home by the tail was getting knowledge that was always going to be useful to him, and warn't ever going to grow dim or doubtful.”   Heat and light narrow the eyes but burst open the mind to new possibilities that we can carry home with us; not, however, without singeing some sacred certainties.  Humidity breeds humility.

For what they’re worth, I submit the following observations to other unsuspecting backyard baskers and  barbeque-ers who aspire to slather their brains in solar sauce during a beautiful torrid spell:

1.      Burgers will cook equally fast on the grill whether you turn on the burners or not.  Skip the propane and save your money.

2.      No temperature is sufficient to seal off primary-season politicians who are attracted to voters in heated climes like pigeons to grass seed.

3.      Air conditioning is simply a way to condition people to keel over when they hit the air on the way to their car from the Marble Slab.

4.      You can work up a sweat trying to communicate with consumers when they are in extremis from the heat.  TV is full of re-reruns.  No one’s sitting on the porch reading today’s newspaper, or on the patio tuning the radio.

5.      Even in hellish weather, however, people still take pains to stay connected.  At the pool, they have their cell phone.  In their cars, they have their cell phones.  At the mall, they have their cell phones.  In the chilled movie house, they have their cell phones—turned on all too often.  At their desks, they have their laptops—hey, eventually calls get dropped.

So it turns out that South Carolina in August, or late summer for any of the dozen or so other states that claim a place in—and on—the sun,  can be a hotbed for mobile marketing and online contact.  Knowing where your customers are cooling their heels and how they stay in touch with the world is crucial for every marketer.  Getting them to volunteer their texting info or online shopping preferences can ignite a marketing effort quicker than a petunia shrivels at 3 o’clock in a Carolina window box. 

When the going gets perspiratory, the really cool marketers go mobile, go online and go fishing for prospects.

-- Steve Friedman