Applied Materials switches solar panel production and focuses on LED light

San Jose Business Journal (Duan) - Applied Materials Inc. is shifting away from one form of solar production to another in an effort to produce a cheaper and more efficient solar panel. This shift, along with Applied’s announcement that it will focus on manufacturing LED lighting, will be an opportunity for companies in the supply-chain sector.

Applied had been focusing on a technology known as amorphous silicon, which is rooted in semiconductor technology, for its panel. But it was very expensive and less efficient than other forms of thin-film. Experts said the poor economy and lack of large-scale solar projects forced the company to rethink its manufacturing strategies. To adjust to those changes, the company will use crystalline silicon, a cheaper, highly efficient form of thin-film for its panels.