Leadership Profile: Sass Somekh (Part 10)

I conclude my discussion with Sass on hybrid and plug-in hybrid vehicles. He evaluates the positions of major world automotive makers, and illustrates how activities in the Valley can affect change by having Silicon Valley emerge as a technology center for hybrid / battery technology.

SM: The goal is to let you cover your entire commute on electricity? SS: Most of it, yes. However, you still have a gasoline engine, so when the battery goes down you can still continue to drive so you are not limited in range. The problem with electric cars, strictly electric cars, is you want bigger and bigger batteries so you are not limited in range. The bigger the battery the more costly it is, and the more weight you have. Hybrid seems to provide the best of both worlds, but it is not happening. Most of the motor companies are not pursuing it aggressively enough.

SM: Why not? SS: Different reasons for different companies. Toyota is very successful with their hybrid line. For somebody who is very successful, to announce another product to replace it, it can be problematic.

SM: They could do it with the same brand, couldn’t they? They already have brand recognition. SS: I know, but there is no need for them to change the car. If they do not announce they are coming out with a new car, it does not put pressure on the other companies to come out with their’s.

Ford, BMW and Mercedes do not have this technology. Nissan is busy catching up, and GM has announced they are going to come out with one in 2010. GM has also said they were going to introduce a hybrid car in 2005, and they never did. There must be more emphasis on controlling and enforcing car companies to progress.

We are starting an initiative in the Valley where we want to have two things, and if we achieve them we will say we were successful. The first is that major car companies commit to introduceing a hybrid in 2010 and actually introduce it. The second thing is that the Valley becomes a center for hybrid and plug-in hybrid car technology. This will require more battery companies, which we do not have. It will mean getting more car companies, such as Tesla which do controls for electric cars here.

These are the two things we would like to see in the Valley. We have developed a strategy to achieve this which includes raising money in order to come up with a plug-in hybrid competition. A $500,000 prize to whoever innovates in such a way to allow these cars to arrive faster and be better.

SM: Have you spoken at the Clean Tech forum that MIT has put together with other valley organizations? A bunch of VC’s who sponsor clean energy ideas are there as well. SS: No, I have not. I think Felix Kramer, who has actually taken a Toyota Prius and converted it into a plug-in hybrid, has been on that panel. That would be great to be involved with.

So, in short, Novellus is not in the energy business. We do not have an axe to grind. We have this focus on energy because we are concerned about the state of the business, and the impact on our business and the impact on the welfare of our employees. We think it is very important we have an energy policy, and that we take action to reduce consumption of energy and innovate in alternative energy.

SM: Thank you for taking the time to talk, I really enjoyed it.

[Part 9]
[Part 8]
[Part 7]
[Part 6]
[Part 5]
[Part 4]
[Part 3]
[Part 2]
[Part 1]

This segment is part 10 in the series : Leadership Profile: Sass Somekh
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