While certain military interests have pushed for anti-satellite weapons since the Cold War, concern over the space junk that destroyed sats would create has kept the international community from serious pursuit of any "Star Wars"-like programs.

ENGADGET: Air Force pushing for ground-based, satellite-killing lasers

There's the doomsday scenario, says Merrill Lynch analyst John Casesa: If the price war persists, the Big Three's credit ratings could fall to junk levels, increasing their cost of borrowing.

FORBES: Price War