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Technology Stocks : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Sam who wrote (53518)	9/1/2011 1:49:43 PM
From: Jacob Snyder	Read Replies (1) \| Respond to of 95520

Those are very valid dangers, and all those issues need watching. Yes, some big conglomerates have tried to get into solar in the past, and more are still trying. To your list, I could add others, like GE and BP. But almost all the biggest companies in the industry, are stand-alone solars, and that's after many failed attempts by "outsiders" to enter the industry. After studying the industry intensively for the last year, I've concluded: It's easy to made solar panels, but hard to make them with high solar conversion efficiency, low manufacturing costs, in mass quantities. It's harder than it seems, to get into solar; barriers to entry are higher than a lot of companies thought. We are currently witnessing a wave of bankruptcies, venture capital being written off, and consolidations in solar. The number of companies making solar panels is now decreasing, not increasing. And current events will make companies and venture capitalists much more wary of trying, in the future. <Japan, China and India have all expressed the goal of having their country be either "the" leader or one of the leaders in solar technology> India has aspirations, but lacks capital and ability. There are no Indian solar companies in Tier 1 rank; I'm not aware of any even contending. Japan has only Sharp in Tier 1; Kyocera and Mitsubishi are trying, but so far not succeeding. And even Sharp has had little success, competing against the Chinese solars in markets outside Japan. So that really just leaves the Chinese solars. I'm happy to invest in them, knowing their government will guarantee their success, with cheap capital, easy lending terms, and a protected market in China. Just like the U.S. government is favoring our National Champion, First Solar, showering them with huge loan guarantees for their Systems. And just like TOT will do for SPWRA. Government intervention makes it easier, not harder, to know who the winners are going to be.