At the turn of the year, photovoltaics manufacturers are faced with difficult choices: continue selling at prices that do not allow for positive margins, or shutter production and wait for the current situation to settle down. With significant inventory on the supply side, and expectations on the demand side for continued low pricing, the correction is likely to be long and painful.

If the price of technology per watt peak is below the cost of producing it and technology manufacturers are failing, true grid parity has not been reached.