Apple Gets Tax Break Approval for Arizona Sapphire Glass Facility

iphone_5_camera_sapphireThe Gilbert Public School Board has approved a tax break for Apple, clearing the way for the company to continue on with its plans to build a 700-employee manufacturing facility in Mesa, Arizona, reports AZ Central. The school board is reportedly the last of eight government entities needed to approve the deal, which will see Apple's property reclassified as a foreign trade zone.

The Gilbert Public Schools' governing board on Monday voted 5-0 in favor of allowing a tax break for Apple Inc., meaning the tech giant can continue with its plans to open a manufacturing plant in Mesa.

The fate of the high-profile deal potentially worth hundreds of jobs seemed to hang in the balance, with the school district being the last of eight governing entities needed to approve a property reclassification that would entitle the premier tech company to a tax break.

First announced in early November, the Arizona facility will be used by Apple partner GT Advanced to produce sapphire glass for Apple.

In addition to providing GT Advanced with a manufacturing plant, Apple will also fund the company with a prepayment of $578 million, allowing GT Advanced to install next-generation high capacity furnaces to manufacture greater quantities of sapphire glass at a lower cost.

Apple currently uses sapphire glass, which is more durable and scratch resistant than other glasses, in small quantities for both the iPhone's rear camera and the Touch ID home button on the iPhone 5s.

Rumors have suggested that sapphire glass could be used for future smartphone displays and it is also possible that Apple will use sapphire glass from GT Advanced for its rumored iWatch. Sapphire glass is already used by high-end watchmaking companies for its extreme durability.

The sapphire glass facility is set to open in Mesa, Arizona in 2014 and according to Apple, will provide more than 2,000 total jobs in engineering, manufacturing, and construction as it is built.

Top Rated Comments

(View all)
Avatar
90 months ago
This is just stupid.

I'm all for private companies making profits and such - but why do Apple really need tax breaks when they have over $100 billion in the bank?

It's especially the case with the income and distribution of wealth. Apple looks for tax breaks yet those working in the lowest wage (probably doing the most work than some top paid execs) paying departments producing Apple products in factories can barely afford to live.

Apple should be producing everything in the United States - and it's the United States governments fault for not acting quick enough when these technology companies started shifting production to Asia and beyond. It's not political, it's moral and ethics we're talking here and it's the fault of whose at the top of both Apple and the US government.
Score: 21 Votes (Like | Disagree)
Avatar
90 months ago
The way communities whore them selves like this....
So what corporations basically say is that they want to use all the local infrastructure and not have to pay for it....so everyone else's taxes go up to compensate.
Sure, they bring in some jobs....so what. All communities should just say no. What will happen, corps not build new plants?
Score: 13 Votes (Like | Disagree)
Avatar
90 months ago
Apple needs a tax break, BADLY



Because billion dollar corporations are people too!!!!
Score: 12 Votes (Like | Disagree)
Avatar
90 months ago
this is ridiculous! Every small company has to pay full taxes yet those large corporations with billions of profits get tax cuts.... all while even the (considered) rich countries are drowning in debt.

Screw the politicians that make this possible!
Score: 11 Votes (Like | Disagree)
Avatar
90 months ago
It's unbelievable how far over states and cities bend to attract investment. So many times the tax forgiven is greater than the tax benefit of employed workers.

Companies like Apple, play them like fiddles.
Score: 11 Votes (Like | Disagree)
Avatar
90 months ago
Thank goodness Apple doesn't have to pay money into the school district of its workers! Clearly it would have been Apple's duty to relocate if such onerous responsibilities were imposed.

This totally vitiates the value of "Made in America". What's the worth of that claim if many of the domestic benefits are exempted because they can declare it a foreign trade zone? What's next -- refusing to repatriate the profits from that plant unless all US taxes are exempted, as Apple insists for its other foreign divisions?
Score: 10 Votes (Like | Disagree)

Top Stories

Samsung Mocks Apple for Ditching Power Adapters With iPhone 12 Lineup

Thursday October 15, 2020 11:51 am PDT by
Samsung on its social channels is mocking Apple for removing the power adapter from the iPhone 12 lineup and other iPhone models, pointing out the fact that the Samsung Galaxy smartphones continue to ship with a power adapter. "Included with your Galaxy," reads a Samsung Facebook post that features a picture of a power adapter. Apple notably is no longer providing power adapters or...

iPhone 12 Pro Pre-Orders Already Selling Out With Delivery Times Pushing Into November

Friday October 16, 2020 6:35 am PDT by
Apple today opened pre-orders for the 6.1-inch models of the iPhone 12 and iPhone 12 Pro through its website and the Apple Store app, and estimated delivery times are already slipping into November for select configurations in the United States. Customers ordering a SIM-free/Pacific Blue/128GB version of the iPhone 12 Pro, for example, are already facing an estimated delivery window of...

HomePod Mini Cable is Non-Detachable, Ends With USB-C Connector for Use With Included 20W Power Adapter

Friday October 16, 2020 12:45 pm PDT by
While not detailed in the tech specs, MacRumors can confirm that Apple's new HomePod mini features a non-detachable power cable that ends with a USB-C connector for use with the 20W power adapter included in the box. With the switch to USB-C, the HomePod mini could potentially be powered by a wider range of devices and peripherals, ranging from MacBooks to USB-C battery packs with enough...

Apple's New MagSafe Charger and Cases Begin Arriving to Customers

Saturday October 17, 2020 10:10 am PDT by
Apple's new MagSafe charger and cases have begun arriving to some customers earlier than expected, and images of the accessories have started to surface on Twitter. The photos provide a first look at the products in real-world use. As of writing, some MagSafe cases are also available for pickup at select Apple Stores in countries like the United States, Canada, and Germany. Filip...

New Google App Feature Lets You Hum a Song to Search for It

Saturday October 17, 2020 4:05 am PDT by
Google has added a new feature to its Search app that allows you to hum a song that's stuck in your head, and then use the company's machine learning algorithm to try and identify it. In the Google app or using the Google Search widget, tap the mic icon and say "what's this song?" or click the "Search a song" button. Then start humming the tune for 10-15 seconds. When you're done, the...

Brazilian Certifications Suggest iPhone 12 Mini Features 2,227mAh Battery and iPhone 12 Has 2,815mAh Battery

Friday October 16, 2020 1:08 pm PDT by
Apple's iPhone mini has the shortest battery life out of all the iPhones in the iPhone 12 lineup due to its small size, but Apple has not provided public information about the battery's capacity. A regulatory filing from Brazil, however, suggests the iPhone 12 mini has a battery capacity of 2,227mAh. The same regulatory information says the iPhone 12 features a 2,815mAh battery, which is...

Apple Offering Free AirPods With iPhone 11 Purchase in India as Part of Diwali Celebration

Friday October 16, 2020 12:35 pm PDT by
Apple today launched a new Diwali promotion in India that will see the company providing customers with a set of AirPods with the purchase of any iPhone 11 model. The new iPhone 12 models are not part of the promotion. Apple is offering the standard AirPods With Charging Case free with purchase, but customers can choose to upgrade to the AirPods with Wireless Charging Case or the AirPods Pro....

Apple Event to Unveil First Apple Silicon Macs Could Happen on November 17

Friday October 16, 2020 2:24 am PDT by
Apple will hold another digital event on November 17 to announce its first Apple Silicon powered Macs, according to frequent leaker Jon Prosser. Apple has already said that this year it intends to introduce the first Mac powered by an Apple Silicon chip instead of an Intel processor. One thing it hasn't revealed is the date it will be announced. According to Prosser's source, that date is No...

Apple Online Store Down Ahead of iPhone 12 and 12 Pro Pre-Orders

Thursday October 15, 2020 11:15 pm PDT by
Apple's online store is down ahead of iPhone 12 and iPhone 12 Pro pre-orders, which are set to begin at 5:00 a.m. Pacific Time in the United States. "You're... early," reads the Apple Store message when attempting to visit the U.S. website. "Pre-order begins at 5:00 a.m. PDT. Enjoy the extra sleep." Apple used to do new device pre-orders at 12:01 a.m. Pacific Time, but since last year, has...

When You Can Pre-Order the iPhone 12 and 12 Pro in Every Time Zone

Thursday October 15, 2020 10:55 am PDT by
Pre-orders for the iPhone 12 and the iPhone 12 Pro are set to kick off on Friday, October 16 at 5:00 a.m. Pacific Time, which is a new launch time that Apple adopted as of last year. Apple is planning to make the new devices available in multiple countries around the world simultaneously, so we've made a guide to let MacRumors readers know when pre-orders will in their country. Pre-orders...