Tuesday, December 06, 2005

Clean-tech and P&P (peace and prosperity)

I am quite content lately when passing by many gas stations and noticing the price is dropping. Will this only be temporary? Judging by how fast those emerging markets (China and India) are racing us to the top, the answer is obvious. So what can we do? Not much with existing energy resources. We need to explore new ones like Clean-tech and renewable energies. VCs are the first one to act on the opportunity. Recently, firms like DFJ, MDV, KPCB, and VantagePoint etc. are actively putting in considerable sums into those areas. A recent article on Redherring and IPO of Sunpower and Suntech show how positive the market is accepting the opportunity. Countries like China are passing regulations to encourage innovations and manufacturing projects in these areas. We shall see more deals coming out in next few years. Areas like Fuel-cell, new solar cell and panel material and disruptive manufacturing processes, renewable energy from biomass and etc. are going to be very attractive. So hopefully, these new alternative energy resources can quickly catching up so that all countries can enjoy long growth and the tension rising from limited fossil oil resources will be something kids fight over in the backyard.

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