They were too busy with the Expedition, Excusion, Explorer and other trucks. Ignoring their car line for the last several years is going to cost Ford dearly, IMO.
I think both will survive. They need to start thinking long term like the Japanese. They (Asian auto makers) will put out a new version (and in many cases an entirely new chassis/drive train etc.) of every vehicle in their car line every four years whether it is needed or not. This strategy is fantastic for promoting repeat business with their customers.