Yeah... you incur losses through transmitting light to the ground from space through the atmosphere. Microwaves (AFAIK) are far more efficient at travelling through the atmosphere, and can pass through clouds etc. Solar energy is also more abundant in space then on the surface.
The idea I suppose would be that the sats would be constructed on the Moon and shipped to GEO, to avoid pressure on Earthbound resources and the local environment. Granted, a rectenna still has to be built on the ground.
Solar cells aren't the only option, either. You could still have a mirror (made out of aluminised mylar or similar) focusing light onto a thermal generator (something like a brayton or stirling engine). This way the generator itself is made into a "dumb" system that can easily be built on the Moon, and the mirror, if dulled by radiation or torn up by constant micrometeorite bombardment could be replaced from Earth as it is a lightweight part.