The Volt goes 40 miles per charge, which gets 95% of commuters to work and back every day, without a drop of gas. It's not stupid, it's almost perfect. It also means smaller battery pack, which is cheaper to replace.
Plus, not only do you get the pure EV functionality for your daily commute, you also get built-in range extending with the genset incorporated in the Volt. It's also supposed to be cheaper than the Model S, which honestly makes is slightly less "dead on arrival" than you'd think.
Yeah, GM's going through financial hell, but with the government looking to get a return on their (and tax payers) investment, if it makes sense we'll get to see it hit the showroom floor. Personally, I like both the Model S and the Volt, but I'd buy the Volt over the Model S as everything stands right now. Down the road, I'd consider trading the Volt for the Model S if battery range improves a tad (300 miles is about how far my parents live, and the furthest I'd drive non-stop).
At any rate, it's great to see full EV and better hybrid/EV choices on the horizon. Soon we'll all be driving one or another.