Increasing the sunlight to electricity conversion efficiency is a key driver for on‐going photovoltaic cost reduction. One of the most successful approaches for improving the efficiency is to split sunlight into suitable spectral bands for a set of solar cells with appropriate energy band gaps. Using this concept, in 2014, our group demonstrated the first photovoltaic conversion efficiency above 40%, where an external filter directed a portion of the sunlight normally wasted by commercial InGaP/InGaAs/Ge triple‐junction cells to a silicon cell. Here, we analyze the primary power losses in state‐of‐the‐art spectrum‐splitting photovoltaic modules and evaluate the potential for further efficiency increase. Two further developments, applying built‐in filters and generalizing the present concept, are proposed for next‐generation spectrum‐splitting photovoltaics, which can make 50% efficiency a realistic target. The design principal is briefed as is the comparison with monolithic multijunction cells.