FSLR
#Good afternoon.
Sure.
So there's absolutely no doubt that the competition doesn't sit still.
And they're endeavoring to improve their product at the same time as we are.
However, if you go back to late 2012 through today, the rate of change of our efforts versus the competition is clearly significantly higher.
And this is something we'll spend some time on at the Analyst Day.
But we have clearly been improving the relative value proposition, improving the margin entitlement, improving yield, energy density, across all markets.
And we've been doing so at a higher rate of change than our competition.
I can't speak to what they're going to do in the future, but we believe that we have a lot of opportunity in front of us in terms of continuing to drive our road map, and we'll talk a lot about that at our Analyst Day.
So on the PPA pricing, I don\
So in terms of the way we think about it, we have always had a very deep pool of investors that we have tapped for to monetize the assets.
Those investors' expectations in terms of return, we've seen variations over time, but the amplitude of those variations has been relatively mild.
And we've also always been relatively conservative in terms of what we've baked into our modeling in terms of what we could achieve in the marketplace.
So the way we think about it is, it's obviously a critical element to our development process, and so we spend a lot of time making sure we're in touch with the market, making sure we're in touch with our customers, making sure we have a sense of what's happening out there.
And we certainly recognize it as an exposure if we didn't pay close attention to it.
But we feel like, and we've demonstrated over the last several years, that we understand the market, and we know how to price our products so that we have the ability to monetize effectively.
So it's sort of yes, it's a big issue and it's a big risk, but that's core to succeeding in our business.
And so managing that risk and understanding that risk is core to what we do.
And there was a second question.
TetraSun.
We'll have more comments about TetraSun at Analyst Day.
So as it relates to pricing power, it all relates to energy density.
And what we've been trying to communicate over the last few calls and we've demonstrated the advantages that we have, not only here in 2015, but where we're going into 2017 and beyond.
And obviously, we're pricing forward with that type of advantage.
So when you think about the spectral response advantage, the temperature coefficient advantage, which ultimately drives to an energy density advantage upwards of high single to low double digits advantages.
So we have quite a bit of pricing power relative to technology.
We have the advantage of the First Solar bankability and strength, and the quality and reliability and willingness to stand behind our product over the long run.
So I think that does translate into significant value in the marketplace.
As it relates to the second to last question ---+ I'm trying to remember what the last question was ---+ the cost of capital assumptions, we're not going to get into specifics around that.
It varies by region.
So as we think about what our cost of capital assumption is in Japan, it's dramatically different than what it is in the US, which is dramatically different than what it is in India.
I wouldn't say that we're assuming any significant changes relative to the current environment.
We believe it will be relatively stable, maybe slightly higher in some regions, but we don't go into the specifics of what that assumption is by region.
