Apple's Failed Sapphire Glass Supplier GT Advanced Charged With Misleading Investors
The SEC today announced it has charged GT Advanced Technologies and its former CEO Thomas Gutierrez with misleading investors about the company's ability to supply sapphire glass for iPhones. The company is also found to have misclassified more than $300 million in debt to Apple.

In the fall of 2013, Apple agreed to advance $578 million in four installments to GT in exchange for sapphire glass that met certain technical standards, the SEC says. By late April 2014, GT had failed to meet those standards, resulting in Apple withholding its final $139 million installment and demanding repayment.
On earnings calls in the second quarter of 2014, however, Gutierrez falsely stated that GT expected to hit performance targets and receive the fourth installment payment from Apple by October 2014. GT ended up filing for bankruptcy shortly after, which the SEC says resulted in "significant investor harm."
SEC associate director Anita B. Bandy:
GT and its CEO painted a rosy picture of the company's performance and ability to obtain funding that was paramount to GT's survival while they were aware of information that would have catastrophic consequences for the company. We will continue to hold chief executives accountable when they breach their most fundamental duty to make full and truthful disclosures to investors.
GT later exited bankruptcy and is now privately held.
GT Advanced Technologies was expected to become a major Apple supplier, as it was supposedly able to manufacture extremely thin sheets of sapphire much more cheaply than current methods. For now, Apple continues to source non-sapphire glass from Corning in Kentucky for use in products like the iPhone.
Popular Stories
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are just over two months away, and there are plenty of rumors about the devices.
Below, we recap key changes rumored for the iPhone 17 Pro models.
Latest Rumors
These rumors surfaced in June and July:Apple logo repositioned: Apple's logo may have a lower position on the back of the iPhone 17 Pro models, compared to previous...
Apple should unveil the iPhone 17 series in September, and there might be one bigger difference between the Pro and Pro Max models this year.
As always, the Pro Max model will be larger than the Pro model:iPhone 17 Pro: 6.3-inch display
iPhone 17 Pro Max: 6.9-inch displayGiven the Pro Max is physically larger than the Pro, it has more internal space, allowing for a larger battery and...
Apple's position as the dominant force in the global true wireless stereo (TWS) earbud market is expected to continue through 2025, according to Counterpoint Research.
The forecast outlines a 3% year-over-year increase in global TWS unit shipments for 2025, signaling a transition from rapid growth to a more mature phase for the category. While Apple is set to remain the leading brand by...
The iPhone 17 Pro Max will feature the biggest ever battery in an iPhone, according to the Weibo leaker known as "Instant Digital."
In a new post, the leaker listed the battery capacities of the iPhone 11 Pro Max through to the iPhone 16 Pro Max, and added that the iPhone 17 Pro Max will feature a battery capacity of 5,000mAh:
iPhone 11 Pro Max: 3,969mAh
iPhone 12 Pro Max: 3,687mAh...
The long wait for an Apple Watch Ultra 3 appears to be nearly over, and it is rumored to feature both satellite connectivity and 5G support.
Apple Watch Ultra's existing Night Mode
In his latest Power On newsletter, Bloomberg's Mark Gurman said that the Apple Watch Ultra 3 is on track to launch this year with "significant" new features, including satellite connectivity, which would let you...
AppleInsider's Marko Zivkovic today shared a list of alleged identifiers for future Mac models, which should roll out over the next year or so.
The report does not reveal anything too surprising, but it does serve as further evidence that Apple is seemingly working on new models of every Mac, including the MacBook Air, MacBook Pro, iMac, Mac mini, Mac Studio, and Mac Pro.
Apple is...
Apple's next-generation M5 chip is expected to debut in five new products later this year, including the iPad Pro, Vision Pro, MacBook Pro, Mac mini, and iMac.
M5 chips will reportedly be manufactured with TSMC's latest third-generation 3nm process, which should result in slight performance and power efficiency improvements over M4 chips fabricated with its second-generation 3nm process.
...