In this letter we are sharing an update of our progress on the build of our multi-chamber CIGSolar™ system with a new web page and pictures; however, we first wanted to share some interesting observations from the solar industry where headlines have painted a dynamic contrast between reality and opportunity.
On the reality side, Solyndra, a well-funded new thin film manufacturing idea made headlines by closing its doors and claiming it could not compete with lower priced silicon alternatives manufactured in China. But, Chinese solar stocks have also lost tremendous value due to an excess of manufacturing capacity which has created hyper competitive markets driving operating margins to “zero.” This chaotic behavior is obviously an unsustainable condition for any industry. Manufacturers need fresh new ideas and technologies to lower key material costs and restore healthy operating margins – a common theme we hear from our CIGSolar™ customers.
On the opportunity side, the cost for converting to solar has never been cheaper and is predicted by Bloomberg New Energy Finance to fall to about $2.38 a watt installed by 2015. This equates to an over 50% reduction compared to mid-2011 costs of about $5.55 a watt. Richard Keiser, a former Sanford Bernstein analyst who is currently president of Keiser Analytics, is predicting that the demand for solar will now begin to rise exponentially stating, “Just as Google was a disruptive technology in the advertising sector, solar will be for energy.”
What’s the premise of his prediction – solar just needs to be less expensive than the electricity consumers buy off the grid, a point that’s quickly coming into reach. When it’s cheaper to install solar panels than to buy power from utilities, installations will surge. Innovative new solar lease and finance programs are making this a reality in many parts of the nation today. How much? Keiser sees more than 100 gigawatts in the U.S. within five years, about 25 times more than we have today.
At XsunX, we see an industry hard pressed for new technology to lower costs and consumer demand poised to grow exponentially. We believe our CIGSolar™ technology will help fill this need. We have been working to build and provide customers hands-on access to a production-sized multi-chamber version of our breakthrough CIGSolar™ technology. Testing of the system fulfills a contractual requirement triggering deposit payments with our signed customers and, in general, we believe is a key milestone to closing many more pending orders.
Our goal was to begin assembling various components in November - and even with the various changes and improvements that we took the time to make during the final planning phase - it looks like key assemblies will begin this week. Up to now we have been sharing general information about our progress with the tool in these newsletters, but starting this week we have added a new page to our web site where we will be posting pictures and descriptions of various components and assemblies of our CIGSolar™ tool. As progress continues we will add to the page and offer updates.
Thanks for your time and have a great week.
The XsunX Team
To learn more about XsunX’s’ breakthrough technology please visit https://xsunx.com , and follow us on Twitter and Facebook.
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