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Sounds like it could be a breakthrough product innovation.
LED's are tricky to manufacture, they're almost like making semi-conductors. To get the performance they're after I'll bet an entirely new process had to be invented. A lot of materials science.
Suggesting a new 50 dollar bulb to their product portfolio would likely get met with resistance in the board room. With short-term shareholder value driving most companies they're very careful on how R&D budgets are allocated.
But an R&D investment to capture a prize is a great marketing opportunity....
Cost will come down as volume manufacturing improves and fast followers produce competing products.
The strategic benefit from new technology like this is huge considering the present energy demand on a weak infrastructure. A 10 million dollar incentive is a drop in the bucket, and virtually all the value created long-term will be in the private sector.
Congratulations Philips, I raise my glass to thee.
-spence
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