Apple's Arizona Sapphire Facility 'Commencing the Transition to Volume Production'
Apple's sapphire partner GT Advanced Technologies today announced financial results for the second quarter of 2014, acknowledging publicly that the companies' facility in Mesa, Arizona is "commencing the transition to volume production."
"The build-out of our Arizona facility, which has involved taking a 1.4 million square foot facility from a shell to a functional structure as well as the installation of sapphire growth and fabrication equipment, is nearly complete and we are commencing the transition to volume production," Gutierrez continued. "We remain confident about the long-term potential of the sapphire materials business for GT.
Overall, GT reported a net loss of $86 million for the quarter, a result that is not unexpected given that the company is significantly restructuring itself as part of the Apple deal, essentially shutting down its sales of sapphire furnaces to other customers in order to devote all of those resources to setting up the Arizona facility for Apple. The facility is owned by Apple and being run by GT, with Apple providing some upfront financing to help get production rolling.
GT allocated over $45 million to "sapphire production ramp up costs" during the quarter, with the company stating that those costs relate to "production inefficiencies and inventory losses" associated with building out its facilities and are not part of ongoing operations for the company. That amount is up from just $1.9 million in the prior quarter, signaling the company's massive move to launch production for Apple.
GT also confirmed that it expects to meet the targets outlined in its deal with Apple, allowing to receive the final $139 million prepayment from Apple by the end of October.
Apple has used sapphire for the camera lens cover on several iOS devices and for the Touch ID sensor on the iPhone 5s, but the company is pursuing a massive increase in sapphire usage for future products. The iPhone 6 display has been rumored to include a sapphire cover, but rumors are divided on whether the material will be included on all models or just higher-end models, as well as whether the entire cover will be full sapphire or a thinner lamination layer.
Apple's rumored iWatch has also been speculated to include a sapphire cover, as the material is fairly common on high-end watches to minimize scratching.
(Image: GT sapphire furnace)
Popular Stories
iOS 18.3 was released last month, so the first iOS 18.4 beta should be coming soon. iOS 18.4 is expected to be a more substantial update for the iPhone, with several new features and changes related to Apple Intelligence and beyond.
Apple's website suggests that iOS 18.4 will be released in April, following beta testing. Below, we outline what to expect from the update so far.
Apple...
If you pay for iCloud storage on your iPhone, Apple has a new perk for you, at no additional cost.
iCloud+ is the official name for Apple's paid iCloud storage plans, which range from 50GB for $0.99 per month to 12TB for $59.99 per month in the United States. iCloud+ plans already come with multiple perks for free, such as Hide My Email and HomeKit Secure Video, and now there is another one...
Apple's next-generation iPhone SE could debut as soon as next week with a launch to follow later in February, reports Bloomberg's Mark Gurman. Apple isn't expected to hold an event for the iPhone SE 4, and will instead unveil the device through a press release.
The iPhone SE 4 is expected to have an iPhone 14-style design, with Apple eliminating the thick bezels and Touch ID Home button of...
Apple is internally testing iOS 18.3.1 for iPhones, according to our website's analytics logs, which have been a consistently reliable indicator of upcoming iOS versions. The software update should be released within the next few weeks.
iOS 18.3.1 should be a minor update that addresses software bugs and/or security vulnerabilities. Apple Intelligence notification summaries for news and...
Apple hasn't refreshed the Apple TV since 2022, but rumors suggest that we're finally going to get an update in 2025. We don't have a full picture of what to expect yet, but we have some hints on what's coming.
Subscribe to the MacRumors YouTube channel for more videos.
Updated A-Series Chip
The current Apple TV 4K uses the A15 Bionic chip that was in the iPhone 13 lineup, and it's time for...
The British government has secretly demanded that Apple give it blanket access to all encrypted user content uploaded to the cloud, reports The Washington Post.
The undisclosed order is said to have been issued last month, and requires that Apple creates a back door that allows UK security officials unencumbered access to encrypted user data worldwide – an unprecedented demand not before...
Last year, we reported that Apple sued its former software engineer Andrew Aude for providing journalists with confidential information about the company's future plans, including details about the Journal app, Vision Pro headset, and more.
As reported by 9to5Mac, the Superior Court of Santa Clara County on Thursday dismissed the lawsuit after Apple and Aude reached an agreement to resolve...
In select U.S. states, residents can add their driver's license or state ID to the Wallet app on the iPhone and Apple Watch, providing a convenient and contactless way to display proof of identity or age at select airports and businesses, and in select apps.
Below, we outline which U.S. states and territories offer the feature, and additional states that have committed to rolling it out in...