When I was at Lucent, they "bought" a company Excel Switching out of Hyannis, and I worked for that division for a while.
The top GM, Finance, and a few other managers stayed on with the division and managed to keep a side of their business separate from Lucent. With the revenue stream they managed alone, they managed to buy themselves back out of Lucent when the rest of the business tanked. Not sure if they are still in business but I saw some smart guys know how to steer clear of a sinking ship.
I read part 1 of the WACMAKITU article and is excellent, two key bullets that stuck out at me:
As someone who's never really been in a hard manufacturing business (only large scale back office computer systems) I don't know all that is involved, but when
I saw the US disassembling Bell Labs research through the shift in telecom policy and law, I thought "how are we ever going to regain this type of research in this country?" That's a slightly different problem then the more general manufacturing (and related process) problems.