First Solar has recently announced that it reduced it's cost to $0.98 per watt. They are also close to producing 1 gigawatt of panels per year. Looks like scale and cost reduction are being achieved in the industry. Combined with breakthroughs in PV technology, conservation and "smart grids" an alternative energy future looks promising.
The price of alternative energy is the deal breaker for mass adoption. There will be many policy initiatives to enhance adoption and subsidies to make them attractive. Unfortunately, only time will tell how this plays out.