Nov. 3--At the entrance of Sanyo Electric Co.'s new Salem factory, an awning holds the secret to the company's competitive edge in an increasingly cutthroat industry.

Black solar cells between two panes of glass cover the front walkway. And on a dim Oregon morning, the solar panels can collect sunshine from both sides, making them more efficient -- and more expensive -- than other brands.

"Sanyo is the only company that has this technology," said Robert Zerner, a business development executive based in San Jose, Calif. "No one else has a cell that can gather sunlight on the top and the bottom."

The differentiation is key for the Japanese electronics giant as it prepares to launch production at its new $80 million wafer plant, which opened Monday after nearly a year of construction. The factory employs 100 workers and expects to employ another 100 by April.

Sanyo Solar of Oregon -- as the local division is known -- represents a departure from other players in the state's growing solar industry, racing toward affordability to gain market share in a sector that's spawned hundreds of manufacturers worldwide. While other companies compete on price, Sanyo touts a unique and costly technology with a global manufacturing process that includes factories in Japan, Hungary and Mexico.

But the global recession continues to cloud the solar industry. Over the past year, prices have fallen by as much as 50 percent. And analysts predict many companies, particularly small and untested ones, will fail as prices continue to drop and profit margins shrink.

The state's investment in Sanyo -- nearly $45 million in government tax incentives and grants -- hinges on the company's success. Together, the subsidies total about $225,000 per job if the company employs 200.

"Focusing our efforts on clean technology even during these economic times is the right strategy for Oregon," Gov. Ted Kulongoski said at Monday's opening ceremony. "We are now competing globally for companies deciding to locate in new places and create jobs."

In Salem's 80-acre Renewable Energy and Technology Park, Sanyo's 130,000-square-foot factory houses the first two steps of solar manufacturing -- growing crystals and slicing them into wafers. From there, the wafers travel to Japan to be turned into cells, then to Hungary or Mexico to become finished panels.

By the time a Sanyo solar panel lands on a customer's rooftop, it will have made a lap around the world.

"We have a higher cost overall, but the performance benefit outweighs the cost," Zerner said. "You can put thousands and thousands of wafers in one pallet.