"In 2009, at a time when the solar market was reeling from bloated inventories and cashflow concerns, Suntech was one of the few companies willing to brave the uncertain business conditions and invest aggressively in manufacturing capacity.
"This bold strategy resulted in Suntech's becoming the world's largest PV module supplier in 2011," he continues. "However, in retrospect, the company failed to invest in all the correct areas, specifically in wafer manufacturing. By failing to vertically integrate in this fashion, Suntech was caught in a cost squeeze between falling system, module, and cell pricing and steady wafer expenses - making the company uncompetitive."
Mike Sheppard - IHS PV Analyst