The MES provider looks to the solar tech industry to expand beyond its roots in the semiconductor market.
What's the future of alternative forms of energy such as solar power? Though the price of oil has dropped significantly since the high prices of last summer, many people hope that interest - and investment - will continue in solar as well as so-called clean technologies.
One technology company betting that the lesson of oil dependence has been well-learned is Eyelit, Inc. A developer of manufacturing execution software, Eyelit has been focusing much of its own energy on equipping solar companies with its technology in an attempt to expand beyond its roots as a tech supplier to the semiconductor industry.
"Silicon Valley is shifting to Solar Valley," said Dan Estrada, vice president of sales and business development at Eyelit, based in Toronto with an office in San Jose.
Eyelit, whose Manufacturing Management suite of software spans manufacturing, intelligence, quality, and other functions, has signed up several noteworthy customers in the solar market. One is Solyndra, a Fremont, CA-based manufacturer of photovoltaic devices for the commercial rooftop market. Another is A123Systems of Cambridge, MA, which makes lithium ion batteries using nanoscale electrode technology. A123, which has been funded by such companies as General Electric, Motorola, and Procter and Gamble, will use Eyelit's software in five factories in China. Last month, Eyelit signed CaliSolar, a metallurgical-grade silicon solar cell provider.
Eyelit's strategy of attacking the solar market has drawn praise from industry analysts. "I think Eyelit has done something very smart focusing on solar," said Julie Fraser, an analyst at Cambashi. "Solar companies can make a lot of gains in quality and, therefore, in efficiency and cost-effectiveness. Eyelit fits the mind-set - and the pocketbooks - of the industry."
Even as it seeks to establish a foothold in the emerging solar market, Eyelit is attempting to expand geographically as well. Estrada said the company recently opened an office in Shanghai as part of a process of establishing a presence, including lining up value-added resellers, in the Asian market. This effort follows a push into the European market, where Eyelit has partnered with VARs in Germany and the United Kingdom.
"The plan is to go beyond two in Europe," Estrada said. "We're even talking with an Indian integrator."
As the company strives to grow both vertically and geographically, Estrada said he's mindful of the tough economic climate but confident based on Eyelit's performance. In fiscal 2008, Eyelit grew roughly 40%, he said, and recorded its 12th consecutive profitable year. The outlook for 2009 is cloudy, however.
"It is tough to say," Estrada said. "We did see a pullback on the semiconductor side. But we will see a bit of growth. It is possible for us to add six solar companies this year."
This article originally appeared in the March 2009 issue of Managing Automation.