Techies Get to Work on Greener Energy

Instead of looking for the next cool technological device, the "techies" in Silicon Valler are looking for ways to make energy more green.

The techies in Silicon Valley have long been known to have some of the best brains in the world, but instead of trying to start a new 'Silicon Valley' revolution, these people have turned their attention to "greener" energy.

The venture capitalists in this area have been investing capital in projects that include solar power, fuel cells, wind energy, biofuels, new lighting microchips, "smart" power grids, and other innovative energies.

Vinod Khosla, a top venture capitalists in Silicon Valley, states the alternate energy source sector is a very under researched industry, and this means investing in companies involved with alternate energy research is easy to get into.

Mr.Khosla points out that oil and coal companies spend virtually no money in research and development of greener energy. He also notes that most money spent by these companies in developing alternate energies is mainly a token gesture.

Regis McKenna, a veteran marketing strategist who helped launch Apple Inc., Electronic Arts, and Genentech, among others, thinks it could take years before "cleaner" energy companies can translate their research into commercially viable products.

McKenna likes to remind people that the computer's brain, the microprocessor, was developed in 1971. However, it took chip processing giant Intel another 10 years before they found a market for microprocessors in the computer sector.

Cleantech Venture Network, an industry trade group, states that investment in Silicon Valley clean energy ventures was around 500 million dollars last year. This amount includes not only venture capital but also corporate and some debt financing. Cleantech estimates that $3.6 billion was invested across the United States and Europe. However, it should be noted that most money, roughly $883.6 million, for clean energy technology is coming from U.S. investors.

More new spending on clean technology is still outpacing money spent in sectors such as computers, health care or retail start-ups, but the money being invested only adds up to about 3.7 percent of the overall market.

With more and more people being concerned about the effects that carbon based fuels is having on the world's environment, investors seem willing to give the alternate energy sector a chance to see what these companies can do with some financial backing. Hopefully, with help from the 'super' brains in Silicon Valley, these 'green' energy companies will find a solution that will lessen the worlds dependence on carbon-based fossil fuels.

Read more at Yahoo News