Stion has raised $71.0M in total across 3 funding rounds.
Stion's investors include 1955 Capital, Flagship Ventures, General Catalyst, Khosla Ventures, Lightspeed Venture Partners.
# Stion: A Solar Technology Company
Stion was a solar energy manufacturer that developed and produced high-efficiency thin-film photovoltaic (PV) modules.[1] Founded in 2006 and headquartered in San Jose, California, the company operated a manufacturing facility in Hattiesburg, Mississippi, with an annual production capacity of 150 megawatts.[1] Stion's business model combined hardware manufacturing with vertically integrated energy services, offering turn-key solar systems to residential, commercial, utility, and off-grid customers.[1] The company differentiated itself by focusing on reducing total installed system costs rather than competing solely on cell or module pricing, recognizing that customers make purchasing decisions based on complete system economics.[2]
Stion was founded in 2006 by a team led by Dr. Howard Lee, a researcher with 28 years of experience in nanotechnology and semiconductor materials.[2] The company's technology built on thin-film solar cell research, specifically CIGS (copper indium gallium selenide) modules.[1] The founding team included executives with deep photovoltaic industry experience—notably leadership with backgrounds at Shell Solar, Siemens Solar, and other pioneering PV manufacturers.[2] Stion secured backing from Khosla Ventures, a prominent venture capital firm focused on climate and energy technologies.[1] The company began manufacturing operations in 2011 at its Hattiesburg facility, which was the first thin-film solar factory in the Southeast United States.[1]
Stion operated during a critical period for U.S. solar manufacturing. The company represented an attempt to establish American thin-film solar production at scale, competing against rapidly expanding Chinese and international manufacturers. By 2011, when Stion began operations, the global solar industry was experiencing dramatic cost reductions driven by Chinese competitors, creating intense price pressure on U.S. manufacturers. Stion's focus on efficiency and system-level cost reduction reflected a strategic positioning to compete on value rather than raw price—a viable approach for differentiated technology but challenging in a market increasingly dominated by commodity pricing.
Stion ceased operations in December 2017, citing "intense, non-market competition from foreign solar panel manufacturers, especially those based in China and proxy countries."[1] The company's closure reflected broader challenges facing U.S. solar manufacturers during the 2010s, as global supply chains and cost advantages favored international producers. By 2020, Mississippi's Development Authority settled a case against Stion's remaining assets for $2.5 million, recovering only a fraction of the $75 million it had lent the company.[1]
Stion's trajectory illustrates the difficulty of competing in capital-intensive manufacturing sectors against globally distributed competitors with lower cost structures. While the company's thin-film technology and efficiency-focused approach were technically sound, market forces ultimately proved insurmountable. Today, the U.S. solar industry has consolidated around crystalline silicon technology and imported modules, with thin-film manufacturing largely abandoned domestically—a shift that underscores the challenges Stion faced in sustaining domestic solar manufacturing at scale.
Stion has raised $71.0M across 3 funding rounds. Most recently, it raised $50.0M Series D in June 2010.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Jun 1, 2010 | $50.0M Series D | 1955 Capital, Flagship Ventures, General Catalyst, Khosla Ventures, Lightspeed Venture Partners | |
| Jun 1, 2007 | $15.0M Series B | 1955 Capital, Flagship Ventures, General Catalyst, Khosla Ventures, Lightspeed Venture Partners | |
| Dec 1, 2005 | $6.0M Series A | General Catalyst, Khosla Ventures |
