4 gigawatt in 2010 according to Photon Consulting

Solar energy has the wind in its sails and Silicon Valley takes note. Photovoltaic cells based on poly-

silica, a component used in the manufacture of microprocessors represent 94 of the solar market. However, for the first time this year, the volume of polysilice used in the manufacture of photovoltaic cells should frankly exceed the volume consumed by the microprocessor industry. If the two industries are temporarily in competition for the raw material, the similarities between the two, in terms of components as well as manufacturing method, create synergies which already emerging growth gains.

"All suppliers have already begun to extend their activities in the solar sector, but they remain before any of the actors in the microprocessor industry, says Travis Bradford, financial analyst and author of the recent book"solar revolution". However, according to the forecasts of growth in the solar industry, they will turn into a heavy weight of the solar industry with a microprocessor subdivision.

Strong growth

The global solar energy market is expected to grow $ 11 billion in 2005 to 51 billion in 2015, according to a recent report to the cabinet of studies Clean Edge. Production capacity installed climbing 1.7 gigawatt in 2005 to 10.4 gigawatt in 2010, according to Photon Consulting. So that the sector is ripe for the proliferation of photovoltaic plants.

Analysts agree to predict that the turnover of the solar industry will see a steady annual growth rate of 35 to 40 over the next years. As a comparison, the microprocessor market must increase by 9.7 in 2006, 249.6 billion. Tensions on the market of polysilice due to the increase in demand should narrowed by 2008.

Last year, the manufacturer of photovoltaic cells and components for solar panels SunPower (spin off of the manufacturer of microprocessors Cypress Semiconductor) came into Fellowship by raising $ 146 million. Its turnover was $ 10.8 million in 2004, is expected to reach 230 million this year. The company is the beneficiary since the second quarter of 2006. Last week, start-up Solaria, a manufacturer of photovoltaic cells at the origin of a technology to generate more electricity with less than silica, raised $ 22 million in a second fundraising.

Objective 1 dollar

For its part, the Governor of California, Arnold Schwarzenegger, reached out of limbo the Initiative solar California. This program of $ 2.9 billion will fund, from next January, the deployment of solar panels on the next decade. Goal: 1 million roofs, or 5 of electricity within 10 years (3,000 MW) needs. A news which has not gone unnoticed in Applied Materials, the world leader in machine tools for the semiconductor industry. Its CEO, Mike Splinter, announced this month a strategic movement towards the solar sector. He especially committed to contribute to the fall in the price of solar watt of 3-5 $ 1 dollar. "We plan to reduce the cost of solar energy by adapting our existing technology and innovating, to make solar power a significant participant in the global energy supply", he said. In July, the company had indeed paid 464 million for the redemption of Applied Films, a provider of equipment specialized in the manufacture of photovoltaic films.

Solar currently represents less than 1 of the energy consumed in the world and, according to a Harris Interactive study, 87 of homeowners who are not equipped with solar panels evoke the cost as the main obstacle. If the Japan by Sharp Electronics and the Germany continue to dominate the market, Silicon Valley hopes sunny tomorrow.