Major corporations, such as Intel Corp and International Business Machines Corp, have recently entered the solar power industry, signaling a potential trend among corporate giants to take advantage of the increasing demand for cleaner energy sources. According to Rhone Resch, president of the Solar Energy Industries Association, these developments demonstrate the direction in which the solar industry is headed, with both high-tech and energy companies beginning to invest in solar energy. Solar power, although still a small part of global energy consumption, is experiencing rapid growth as concerns about climate change and fossil fuel prices rise. Companies like SunPower Corp and Q-Cells AG have seen significant expansion in recent years, attracting the interest of other businesses looking to enter the fast-growing solar market. Tech companies like Applied Materials Inc and Cypress Semiconductor Corp have already made successful ventures into solar power, inspiring others to follow suit. Kevin Genieser, the leader of Morgan Stanley's renewable energy investment banking practice, stated that strategic players are able to bring large-scale manufacturing capabilities to the solar industry. He also mentioned that there is expected to be an increase in merger and acquisition activity in the solar space. Recently, Intel announced the spin-off of its solar technology into a start-up called SpectraWatt Inc, while IBM revealed a partnership with Tokyo Ohka Kogyo Co Ltd to develop more efficient solar power technologies. Intel is investing $50 million in SpectraWatt, which will start shipping its solar cells next year, and IBM and TOK plan to license their technology in the next few years. These developments followed Robert Bosch GmbH's acquisition of German solar cell maker Ersol for 1.08 billion euros ($1.67 billion). Bosch, the largest automotive supplier in the world, has recently been joined by Hewlett-Packard Co, the biggest computer maker, in licensing its clear transistor technology to Xtreme Energetics, a solar power company based in Livermore, California. This move has been seen as a validation of solar power by many, showing that it is not just a passing trend. Analysts like Jesse Pichel from Piper Jaffray believe that the involvement of corporate giants like Intel, IBM, and HP, along with Bosch's recent acquisition of Ersol, demonstrate the long-term potential of solar energy. SunPower CEO Tom Werner also agrees, stating that with such major players in the industry, solar power is now considered a legitimate and viable option. Werner mentioned that IBM and Intel will raise the level of competition, but he believes SunPower's established business gives them a significant advantage. He stated in an interview that this will only push them to improve further. Resch and Pichel also agreed that new competitors in the market, no matter how big, are unlikely to impact established players due to high demand for solar panels. However, some people argue that the large companies entering the solar industry now may have missed the opportunity. CRT Capital Group analyst Ashok Kumar stated that these companies may be arriving late and not fully prepared, as many competitors have already established themselves both domestically and internationally.