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In 1839, the ability of some materials to create an electrical charge from light exposure was first observed by the French physicist Edmond Becquerel.Though these initial solar panels were too inefficient for even simple electric devices, they were used as an instrument to measure light.[

The observation by Becquerel was not replicated again until 1873, when the English electrical engineer Willoughby Smith discovered that the charge could be caused by light hitting selenium. After this discovery, William Grylls Adams and Richard Evans Day published "The action of light on selenium" in 1876, describing the experiment they used to replicate Smith's results.

In 1881, the American inventor Charles Fritts created the first commercial solar panel, which was reported by Fritts as "continuous, constant and of considerable force not only by exposure to sunlight but also to dim, diffused daylight".However, these solar panels were very inefficient, especially compared to coal-fired power plants.

In 1939, Russell Ohl created the solar cell design that is used in many modern solar panels. He patented his design in 1941.In 1954, this design was first used by Bell Labs to create the first commercially viable silicon solar cell.

Solar panel installers saw significant growth between 2008 and 2013.[8] Due to that growth many installers had projects that were not "ideal" solar roof tops to work with and had to find solutions to shaded roofs and orientation difficulties.This challenge was initially addressed by the re-popularization of micro-inverters and later the invention of power optimizers.

Solar panel manufacturers partnered with micro-inverter companies to create AC modules and power optimizer companies partnered with module manufacturers to create smart modules.[10] In 2013 many solar panel manufacturers announced and began shipping their smart module solutions.