International Business Machine Corporation (IBM) and Linuo Power Group signed an agreement Tuesday in Jinan, Shandong province to strengthen the research of crystalline silicon cells and to improve the conversion efficiency of solar cells.

Some $20 million will be invested in the program at the first stage and more than $100 million investment will follow in the next three to five years.

The conversion efficiency of the monocrystalline silicon solar cell is expected to improve from 18 percent to 20 percent in three to five years. Production cost of solar cells will be reduced by seven percent when the conversion efficiency improves by one percent.

Hovel. Harold J., a top scientist in solar power will participate in the joint research."Solar power technology will be further improved in three years, and I am sure the cooperation will make cost even lower and the products much popular," he said.

Gao Yuanshen, president of Linuo Group	Tze-Chiang Chen, vice president of Science and Technology at Thomas J. Watson Research Center from IBM

Gao Yuanshen, president of Linuo Group has a strong confidence in the deal, "It will promote the advancement of the photovoltaic industry in the world as the enhancement of conversion efficiency will greatly mprove the company’s core competitiveness ,"said Gao

The two companies will share the latest research achievements and promote the development of clean energy together, said Tze-Chiang Chen, vice president of Science and Technology at Thomas J. Watson Research Center from IBM.

Linuo Power Group is a world well-known high-tech company from China, specializing in the research of solar power, as well as the manufacturing of solar cells. The company is IBM's only cooperative partner in solar power research in Asia.