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
Apple is not expected to release a standard iPhone 18 model this year, according to a growing number of reports that suggest the company is planning a significant change to its long-standing annual iPhone launch cycle.
Despite the immense success of the iPhone 17 in 2025, the iPhone 18 is not expected to arrive until the spring of 2027, leaving the iPhone 17 in the lineup as the latest...
Language learning app Duolingo has apparently been using the iPhone's Live Activity feature to display ads on the Lock Screen and the Dynamic Island, which violates Apple's design guidelines.
According to multiple reports on Reddit, the Duolingo app has been displaying an ad for a "Super offer," which is Duolingo's paid subscription option.
Apple's guidelines for Live Activity state that...
The company behind the BlackBerry-like Clicks Keyboard accessory for the iPhone today unveiled a new Android 16 smartphone called the Clicks Communicator.
The purpose-built device is designed to be used as a second phone alongside your iPhone, with the intended focus being communication over content consumption. It runs a custom Android launcher that offers a curated selection of messaging...
Apple plans to introduce a 12.9-inch MacBook in spring 2026, according to TrendForce.
In a press release this week, the Taiwanese research firm said this MacBook will be aimed at the entry-level to mid-range market, with "competitive pricing."
TrendForce did not share any further details about this MacBook, but the information that it shared lines up with several rumors about a more...
Apple is planning to release a low-cost MacBook in 2026, which will apparently compete with more affordable Chromebooks and Windows PCs. Apple's most affordable Mac right now is the $999 MacBook Air, and the upcoming low-cost MacBook is expected to be cheaper. Here's what we know about the low-cost MacBook so far.
Size
Rumors suggest the low-cost MacBook will have a display that's around 13 ...
Apple today announced a number of updates to Apple Fitness+ and activity with the Apple Watch.
The key announcements include:
New Year limited-edition award: Users can win the award by closing all three Activity Rings for seven days in a row in January.
"Quit Quitting" Strava challenge: Available in Strava throughout January, users who log 12 workouts anytime in the month will win an ...
Govee today introduced three new HomeKit-compatible lighting products, including the Govee Floor Lamp 3, the Govee Ceiling Light Ultra, and the Govee Sky Ceiling Light.
The Govee Floor Lamp 3 is the successor to the Floor Lamp 2, and it offers Matter integration with the option to connect to HomeKit. The Floor Lamp 3 offers an upgraded LuminBlend+ lighting system that can reproduce 281...