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The world’s first solar cell was created in 1883. It was inefficient by today's standards, turning only one to two percent of sunlight into electricity. The breakthrough in solar cell technology came in 1954 when researchers at Bell Laboratories stumbled across the photovoltaic properties of silicon while experimenting with new transistor technologies. Three years later, PV research began in earnest to develop an independent solar energy source for space technologies. Thanks to continuing research, modern commercial PV cells have improved to 11-15% efficiency.

PV cells are generally made either from crystalline silicon, sliced from ingots or castings, from grown ribbons or thin film, deposited in thin layers on a low-cost backing.

The performance of a solar cell is measured in terms of its efficiency at turning sunlight into electricity. Atypical commercial solar cell has an efficiency of 15% - about one-sixth of the sunlight striking the cell generates electricity. Improving solar cell efficiencies while holding down the cost per cell is an important goal of the PV industry.