Products for the other 3 billion

A new breed of idealistic technologist is building ultracheap baby incubators, medicine dispensers, and solar-powered lamps. Welcome to entrepreneurship circa 2009.

…Two such budding entrepreneurs are Nedjip Tozun and Sam Goldman, founders of D.light Design. D.light makes cheap, solar-powered lights to replace the kerosene and diesel lamps so common in the developing countries of Asia and Africa. Tozun and Goldman met in Patell’s class in 2006 and quickly connected over their mutual passion for helping the poorest communities tap into basics, like light, that the developed world takes for granted.

For smart, ambitious students of Tozun and Goldman’s generation (they are both 29 years old) professional success and saving the planet aren’t mutually exclusive. Patell’s class is supercompetitive; people regularly are turned away because there’s not enough space. Some of the students – a mix of would-be MBAs, engineers, and designers – truly are do-gooders, but a fair number think building good, cheap products is a skill any corporation would value.

“General Electric is not dumb – it looks at these markets too,” says Seth Silverman, a civil and environmental engineering graduate student in the class who focuses on technologies for Ethiopia. “But these environments are so hard to work in that its attention is spent elsewhere. We can fill that gap, with an approach that goes beyond a fast profit motive.”

Often that approach involves combining cutting-edge technology with widely available products that are moving down the cost curve. D.light, for example, marries next-generation light-emitting diodes (LEDs), proprietary power-management tools, and increasingly cheap solar panels.

As a result, D.light is able to offer poor communities an affordable alternative to kerosene, which is ubiquitous but hazardous. The quality of the light isn’t good, it emits pollutants, and it’s just plain dangerous. “You travel around these villages, and everyone has a story of a child being burned or a house destroyed by fire,” says Tozun, speaking by phone from his office in Shenzhen, China. “And yet in some places we found that people were spending 15% to 20% of their income on light.” The world’s poor spend about $38 billion a year on kerosene for lighting, according to the International Finance Corp.

Fortune