Value Chain Activity: Concentrating PV Modules

CPV module manufacturers assemble the solar cells, concentrator unit and heat sink to form a module. Where applicable, companies will either integrate a tracking device or offer it as a separate product for free-standing module installations.

Industry Context

Barriers to entry Barriers are reasonably low due to the fact that most materials and manufacturing processes are pretty standard provided the cells are manufactured elsewhere.			Suppliers Depending on the degree of concentration, the solar cell is either silicon-based or a multi-junction cell. If it is the latter, the cell will most likely be supplied by one of only 3 players.
Conclusion At a time when poly-silicon was very expensive, concentrating solar pv promised to be a cost-effective alternative. No more. Concerning application of the technology, it appears to be wedged in between concentrated solar thermal and flat photovolatics, which could prove to be an uncomfortable position. For now it remains a niche market.		Competition As a rather recent technology being commercialized, there were many new entrants with no dominant technical design. Many of those, however, failed, as the rapid collapse of costs in conventional modules negated many a business case of cpv manufacturers.
			Substitutes The main value proposition of cpv modules is lower cost of ownership than other photovoltaic technologies in clear and sunny locations. The drop in silicon prices has massively challenged this presumption.