He discovered global warming; he created the Internet; and his wife shielded my young ears from curse words when I was growing up. Now Al Gore has decided it is time to single-handedly rescue the automotive world. Okay, not really, but Al Gore is a major backer of California-based Fisker Automotive, which has just secured a $529 million government loan to build a hybrid sports car in Finland.

Couple of problems here, but let's start with the idea of the car. I am so glad that Fisker is going to help the earth. I mean, who doesn't want to conserve fuel and reduce air pollution while cruising around in their four-door sports car? I mean, who doesn't have an extra $89,000 lying around to spend on transportation? Seriously, it is now at the point that only celebrities can afford a hybrid car that doesn't look like it was built of Lego.

General Electric (NYSE: GE) announced today plans to build a manufacturing plant for storage batteries that would be a part of its GE Transportation unit. GE hopes to serve the rail, marine, mining, telecommunications and utility sectors. In some sectors, it hopes its breakthrough technologies would significantly aide in reducing emissions.

The new $100 million production facility, scheduled to be fully operational by mid-2011, will be located in upstate New York and will create 350 new manufacturing jobs. GE has chosen this location also for its proximity to its GE Global Research in Niskayuna, where advances to the battery chemistry were developed.

For years China has been the world's leading manufacturer, and they are hoping to take that momentum into the auto industry.

When you think of foreign cars you would like to own, chances are that it is not a car made in China. The Chinese have fallen behind on gas powered cars, so they made a brilliant decision... just try to be the leader of the next industry evolution. They are looking at hybrid and electric powered cars.

Many of today's "investors" place their bets on the stock market's wheel of fortune. They hope that their number will come up. I have news for those stock players: the majority of their ranks are no longer true investors. They are gamblers, plain and simple.

Would those gamblers like a hot tip? Here's one in keeping with today's economic defeatist attitude. I suggest that they immediately dump shares they hold in anything that's associated with motor racing. The reasoning for my saying this is simple: NASCAR has a measurable carbon footprint.

Please understand that I'm playing the devil's advocate here. I myself have nothing against motor sports.

NASCAR has already made one move towards a green future by introducing a new hybrid pace car. However, that's not going to cut it for the peak oil crowd. Additionally, this week the government announced its disdain for corporate America, with the curt dismissal of Detroit executives by a Pelosi-led crowd. We must also consider that advertising money is drying up, and with that, may go some sponsorships. NASCAR is in dangerous waters, and I believe that the sharks are circling.

Presumptive Republican presidential candidate John McCain's plan to award a $300 million prize "for the development of a battery package that has the size, capacity, cost and power to leapfrog the commercially available plug-in hybrids or electric cars " raises many questions.

For one thing, what does he mean by "leapfrog?" Does the McCain car have to be 10?% better? 20% better? or 30% better? Will a marginal improvement suffice? Moreover, who is going to decide whether the goal is met? environmentalists? the automakers? the government? These people can not agree on what we should do to reduce air pollution; I can't imagine the fights that will occur over what constitutes a technological "leap."

McCain wants the car to deliver a power source at 30% of the "current costs." Does that mean costs as of 2008 or whenever this wonder car is ready to be sold to consumers? How does he define "costs?" Is it the total cost of ownership or a reduction in the sticker price or something else entirely? Why limit it to batteries? What about hydrogen fuel cells whose only pollution is water vapor?

In a speech he delivered today, McCain pointed out that "right now we have a hodgepodge of incentives for the purchase of fuel-efficient cars." Indeed, purchasing a hybrid only makes economic sense for the most die-hard of tree huggers. But is the answer to skyrocketing gasoline price to be found in a contest? I am not so sure.

You have to admit there's something ironic, almost comical, about this, but it's true: General Motors Corp. (NYSE: GM), whose domestic sales are in a major slump, said it plans to sell hybrid vehicles in the Persian Gulf. The Persian Gulf, where gasoline sells for anywhere between $0.78-$1.57 a gallon! Sell hybrids there. That almost sounds like a joke.

Well, it ain't no joke at all. The strategy, it seems, is to allow Middle Eastern buyers the choice of a bigger car. It's a plan cooked up by Terry Johnsson, president of GM's Middle East unit. Perhaps he's got a point. With their economies booming as a result of record-high oil prices, the region was responsible for 50% more GM SUV sales in May, the opposite of the trend seen in the company's U.S. sales.

So despite the Middle East being a small market in terms of global sales, GM plans to capitalize on its wealth. If the concept of hybrids in Bahrain (starting in the fourth quarter) still strikes you as odd, you may want to consider that the region is becoming increasingly environmentally friendly, says Johnsson. Considering that most countries in the Gulf rely on oil as a source of revenue and income, that's ironic too, isn't it?

While the American consumer for years preferred the bigger car, ignoring environmental and oil supply concerns, oil-rich countries have planned for the day it runs out, trying to get into other industries, such as tourism. Not to mention that the consumers there are also considering the environment. So in one more twist of the fate, GM, who has been pushing the big cars, is now feeling the consequences. How can so many have suffered from such poor foresight?

The highways I drove this Memorial Day weekend were relatively empty thanks to people opting for a Staycation. But people I spoke with were wondering why gasoline prices were so high and whether they'll go higher. While USA Today thinks they've peaked, my answer to both questions is I don't know.

But if one source is right that 60% of the trading volume in oil is from speculators, then a rise in the dollar and a drop in consumption would force those speculators to reverse course -- and that would send oil prices plummeting. Here are five things you can do to help make this happen:

• Drive less. Many people don't have the option to do this. But carpooling is an option for many. People can also try to make many stops during a single car trip rather than doing one at a time. And they can try to telecommute more frequently.
• Take public transportation. Much has been written recently about people taking buses, trains, and other forms of public transportation to work. While this is often more time consuming and can be inconvenient. It may also save money and will certainly cut down on your gasoline consumption.
• Ride a bike or use a motorcycle. I know riding a bike would be a major inconvenience for many people. Riding a motorcycle gets better gas mileage than a car and is fun for some. During periods of dry weather these options could work fairly well. But they'd be awfully tough during a snow or rain storm.

With gasoline prices going through the roof lately, the main question on every motorists' mind has been how to save some money at the pumps. The obvious answers are to either drive less, or buy a car that uses less gas, preferably a gas-electric hybrid. Hybrids, unfortunately, are pretty expensive, but Honda (NYSE: HMC) has announced plans for releasing an affordable gas-electric hybrid next year.

Honda plans on this new hybrid to be a brand new car model for the company, and the model will only come in the hybrid version. In addition, it will also be coming out with new hybrid versions of its already popular Civic and CR-Z.

The company's President, Takeo Fukui, stated that there has been a lot of attention placed on hybrids recently, and that now was the time to "go to the next step." He did not make any predictions on just how much the new hybrid-only model would cost, other than it would be affordable. There was also no mention of the name for the new model, but some descriptions were given, including that it would be a 5-door sedan with new weight reduction technology to help improve the vehicle's efficiency.

Tesla Motors is one of the more interesting "emerging alternative energy auto" companies out there. Actually, it has a better story than most. The company's roadster rivals a Ferrari and is sold out for its current production runs in 2008. The company also plans to introduce a four-door sport sedan in 2009 or 2010.

Tesla just got extra funding as well. It completed a $40 million round of bridge financing from Valor Equity Partners and Elon Musk, its chairman. The company had already raised funding in prior rounds, and it has expressed at least some interest in coming public. Since it has VC funding, that choice might not even be entirely up to the founders. My prediction: you'll probably be able trade Tesla Motors stock as a public company within the next twelve months or so. Bridge financing is often the last round of financing before a key event (such as an IPO filing or significant final round of financing).

Investing in electric cars, for better or worse, is not so easy. I have noted here are a couple of current investment plays that traders can use for this, but even these are not exactly the easiest out there. Honda Motor Co. (NYSE: HMC) has its new fuel cell car coming to the U.S., but its geographic limitations are going to be severe at first and it will yield nothing significant in terms of percentages of its entire U.S. fleet until after 2010. There is also another tiny OTC-company called Zap! (OTCBB: ZAAP) but as with all OTC stocks you have to be extra diligent in investigating the company. Zap! has its high performance electric cars coming for some $30,000.

Despite a shaky economy where recession concerns gain ground each day, car demand is booming for at least one major auto maker. Car maker Honda anticipates that even in a recession, people will continue to need cars, and from this point of view, Honda anticipates its global sales will jump 6% this year to a record 3.76 million vehicles, helped by strong demand in the U.S., Europe and Asia.

According to Takeo Fukui, the automaker's president, Honda plans to invest in research for hybrids and other new technology in Japan to face "the competition in hybrids" which has just begun. Let's remember that Toyota has already made the Prius, which is currently the top-selling hybrid.

Honda intends to create a new hybrid model that runs on gas and electricity, and its sales are expected to reach 200,000 vehicles a year. The company's strategy will be based more on hybrid offerings as overall hybrid sales are estimated to bring about 10 percent of Honda's sales in the next four years.

It may not solve the air pollution problem all by itself, but GM (NYSE: GM) will begin to make hybrid cars in China in time for the Olympics.

But the No.1 US car company may have trouble selling the vehicles. According to Reuters "Demand for hybrids is negligible in China, where fuel economy figures little in consumers' purchasing decisions." With oil trading above $90 and China driving much of the global demand, that dynamic could change quickly.

The GM move seems to be a PR stunt as much as anything else. The automaker knows that putting out a hybrid in the world's second-largest car market will get it coverage as foreign press flood China for the 2008 Olympics. One can just see all of the US athletes being driven to and from the Games in their shiny new GM hybrids. Made in China. Driven in China.

But the fuel problem in the world's most populated country is severe. Last month, the government had to ration diesel and, at high prices, the Chinese government is paying a huge premium to keep its GDP rising by underwriting energy costs.

Perhaps some of the senior members of the Communist Party will be in hybrids next year as well.

Douglas A. McIntyre is an editor at 247wallst.com.

General Motors (NYSE: GM) is setting itself up for what could be the largest unveiling of an electric vehicle ever with its Volt line of electrically-powered vehicles. As gasoline reaches and surpasses the $3/gallon mark nationwide, customers have to wonder why no car manufacturer has fulfilled the need for an electric car; and one that does not have limitations rendering it non-competitive to a standard gas-powered passenger car, like these Zapcars pictured here.

GM executives have recently said that the Volt is on track for sale for late 2010, and it will be a rechargeable vehicle that is 100% electric, not a hybrid. It's not only nice looking, it would eliminate gas as a variable in that daily commute. To some, that means a savings of a few hundred dollars (or more) per month. GM, however, is not going at this effort alone. Toyota is in the race as well, and there will soon be a "showdown" with GM, according to a senior GM executive last week.

The Chevy Volt should be launched in November 2010, according to GM CEO Richard Wagoner and head of global product development Robert Lutz. That's three years from now, and it's still considered an "aggressive" posture by GM's global design and manufacturing teams. Will Toyota be able to beat that deadline and deliver a solid, 100% electric offering within the next three years and once again show up its main global rival? Lutz said that by next April, one company will be able to show a prototype on the street, and the other will take a credibility hit (stating that batteries won't be able to push cars, even in three years). We'll see who is correct in about five months or so.

Japanese automaker Toyota (NYSE: TM) stole the hybrid vehicle marketing limelight years ago with its Prius passenger car -- you know, the one that has a gas mileage figure of over 50 miles per gallon. Due to combining a smaller gasoline engine with an electric motor, the smaller car has a remarkable fuel efficiency rating, and the word of mouth that started selling the Prius to ecologically-aware consumers and assorted environmentally-conscious folks was like a wildfire in the passenger car market. The waiting line to buy one was half a year in many cases.

Although many detractors say the Prius' claimed gas mileage is not what it's cracked up to be, the popularity contest has already been won. The next step for Toyota would be to make the nameplate in an all-electric fashion instead of a hybrid design that still uses gasoline. The trouble is, no company can produce an all-electric car that has the same amenities as the modern internal combustion vehicle: range, comfort, size, price and design. If anyone can ever make this a reality, though, it would be Toyota (although an effort is still plenty of years off).

Until then, perhaps the automaker is looking at plug-in electric hybrid vehicles for Act II of its hybrid car marketing strategy? At the recent Tokyo Auto Show, Toyota showed off designs that use a hybrid propulsion system that contains a larger battery, allowing the vehicle to travel short distances at highway speeds powered by the electric motor alone, instead of the motor just being used in city stop-and-go traffic. The battery pack would need recharging at night, instead of being charged by regenerative braking like in current designs, but all things considered, this would be the next step to an all-electric design that uses little to no internal combustion (or gas). Whoever gets there first will hold the holy grail of sales to customers needing smaller passenger cars. General Motors (NYSE: GM) isn't sitting still at all, though.

Venture capital is flowing, engineers are chomping at the bit and layman sources claim that mechanical components of the Chevy Volt are already being road tested on the streets of Detroit. General Motors (NYSE: GM) is not letting anything get in the way of its plans to place a successful electric car on the streets of America and the world by 2010. A report by RedHerring outlines the broad and powerful collection of top tier companies which are coming together to help GM bring its mission to fruition.

Two new research projects targeted towards electric car development were recently announced by General Electric (NYSE: GE) and are specifically geared towards the needs of the Chevy Volt. GE has been asked to design high density electric capacitors and hybrid drive train components in pursuit of our first generation of truly plug-in electric cars. It would seem that GM, GE and the Department of Energy are not willing to settle for an automobile with simple hybrid status. The goal would appear to be full blown electric automobiles at a price within reach of the public. Once the car is built, add the current advances in solar technology and you'll have an automobile that can be charged from a solar powered battery array at home.

Seagate Technology (NYSE: STX) has begun shipping the first of its hybrid hard drives for notebook computers and smaller computing devices needing high-performance storage at reasonable cost. Hard drives are inside almost every desktop and laptop PC these days, and although they have advanced technologically with processor speeds and other performance metrics, they are still the performance bottlenecks in almost every computer. Why? At the root, hard drives are still where they were decades ago -- reading and writing data from spinning magnetic platters. Many tricks have upped performance since 2001 or so, but hard drives still look to be aging for the computing needs which always require more performance year after year.

Now, for pure storage needs, like for iPods or TiVo boxes, hard drives are fine. As laptop computers replace desktops, more performance is becoming crucial to these systems. As a result, the hybrid hard drive was born. Newer units from Seagate contain 256 Megabytes of RAM (solid-state storage) to augment those spinning magnetic platters. Here's the only wrinkle: there is a cost premium to that. Will consumers accept that? Highly doubtful, and so we have a conundrum.

Seagate's newer hybrid hard drive products may make their way to higher-end laptop computers soon, and the early adopter consumer and technologically minded will pay the expected 30% premium just to get the added performance (well, hopefully added performance). After a while, volume and economics will drive that premium down to where there is none. If Seagate really wants to become the premier supplier of new-generation hybrid drives above where it already sits with existing market share, that premium needs to come down to 10% to 15% at the most. That may crimp margin a little, but competitive laurels won't ever rest when it comes to the hard drive industry.