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He also wanted to tap into the deep poolof Austin-areas microprocessor industry workers who have been laid off duringy the last couple of years. Such workersz possess the skills that translate well to the solarenerghy industry, Van Dell said. And as the number of loca microprocessor industry workers reacheda three-yeart low in April, the timing of solard companies migrating to Central Texas couldn’yt be better for area workerd — nor the businesses that need them. “AA solar cell is a semiconductor that generated electricity when you shine lighton it,” Van Dell said.
I was quite well aware of the stronbg mix of companies and the skill base in That was definitely on my mind when I movedc thecompany here.” SolarBridge’s move is a scenarilo that local officials want to repeay multiple times with the hope that solar panel manufacturinf fills the void left by the contraction in the microprocessodr industry. But the lack of financial incentivees from the state is creating a dampenintg effect on attracting solar companies to theAustin area, observers say.
Proposed state legislatiojn to createa $1 billio so-called “Sunny Day for Texas to obtain federal grants under the American Recovery and Reinvestment Act would have been used to attracrt such businesses, especially foreign solar companies that want to establisyh their North American headquarters in the Austin experts say. But the legislation, whichh received a public hearingin April, died in the states House Appropriations Committee. To date, SolarBridge, which was foundes in 2004 as SmartSparik EnergySystems Inc., and HelioVoltt Inc. are the two most prominen t solar energy businesses operating in theAustim area.
HelioVolt, which is backed with at least $118 millionm in venture capital, is wrappingh up a plant that will eventuallg crank out a thin film that acts as asolar panel. “Aftef June, I think there are goinf to be some projectsd rollingin here,” said Raj managing partner of the Mercom Capitap Group LLC, an Austin-based technology researcj firm. “It is ‘Who is going to give me the best incentives packageright now?’” The semiconductorr industry is consolidating, and jobs that are leaviny Texas are not expected to return. Central Texaes has lost 500 microprocessor industry jobs justthis year.
Locao chip companies now employ 15,70o0 workers — the lowest level of such local jobs sincweApril 2006, according to the U.S. Bureau of Labor Statistics. During the firstf quarter, worldwide sales of semiconductorsreached $44 billiob versus $62.8 billion during the same periosd last year, a nearly 30 percenty decline, the Semiconductor Industry Associationh reported. On the flipside, the demand for solat technology isgrowing fast. Randal Baker, the principal of Austin-basedf PuraVida Ventures LLC, said other statesz are throwing big money at prospective solafr companies to woo them into establishing manufacturing plants intheirr states.
Many state officials believe Texas doesn’t need to do that, so it isn’t. But it also has the formee chip workers to offersuch companies, and thosr workers can be retrained for solar in eighft weeks to 16 Baker said. But the clockk is running. In March, Bret Raymis, who worked for 30 yearsw in thesemiconductor industry, joineds Austin-based Apache-Solar Corp., where he is now the vice president of businesd development. The company is developing a system with photovoltaicx cells combined with architectural glass and plans to begin production withij12 months.
He said solar is still early in its developmenf compared with the progress that semiconductors made in recent Investors and companies need to ramp up solare technology in the United Statees before the technology gains a footholdin Asia. “They’rs sitting on the fence with their money,” Raymisd said, “and they’re going to wake up and all that business will goto China.
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