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Apple will continue evaluating GTAT’s sapphire production progress, could repurpose Mesa facility

Following news this week that Apple had reached at a settlement with bankrupt sapphire manufacturer GT Advanced, today the company has responded to the situation in a comment to Recode. While GT previously said it would wind down sapphire production operations at its Mesa, Arizona plant and sell furnaces to repay the $439M owed to Apple, today Apple hinted it might have its own plans for the facility.

“Apple put a lot of effort into an ambitious new sapphire manufacturing process with GTAT which is not ready for production.”

Apple continues by noting that it is still committed to work with Mesa and that it will potentially repurpose the facility and “help the GT Advanced employees who will be impacted by this find new jobs.”

When GT’s lawyers earlier this week called the settlement an “amicable parting of ways,” there was no confirmation if Apple would continue to work with the company or utilize the Mesa, Arizona facility. Today, however, Apple said it would continue to evaluate GT Advanced for “progress on larger sapphire boule development.”

Apple’s full statement is below:

“Apple put a lot of effort into an ambitious new sapphire manufacturing process with GTAT which is not ready for production. We’re going to continue evaluating GTAT’s progress on larger sapphire boule development, as well as consider other options for the facility. We remain committed to the city and we’re going to work with Mesa and Maricopa County to help the GT Advanced employees who will be impacted by this find new jobs.”

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Comments

  1. maxleopold - 10 years ago

    GT just has to write the Tender over to Apple & Apple can start producing Sapphire by themselves.

    Then create a Joint Venture with GT to use the IP exclusively
    or buy them outright. And no one else can use their Techniques other than Apple.

    • taoprophet420 - 10 years ago

      GT says its leaving the Saphire production market, but plans to move to a furncae maker and technology company.

      So basically Apple is going to wait and see if GT can deliver on the techno then by the furncaes.

  2. 89p13 - 10 years ago

    And, hopefully, if they’re going to continue to worth with GTAT, implement a better Management Team within GTAT! Someone who isn’t looking to cut their losses / maximize their personal wealth – and screw the community and employes in their facility!

  3. taoprophet420 - 10 years ago

    If I was Apple I would took the furnaces for GT Advanced. . It was part of the deal, that Apple would own the furnaces if GT Advanced didn’t oay Apple back all the money owed and met other requirements.

    It doesn’t seem like the technology GT owns would be that difficult for Apple to get from another company or simply hire the employees from GT to come up with new ones.

    I myself wish Apple would use the plant for assembly of more Apple products. Be nice to have have all Mac Mini and iMac assembly here to go along with the Mac Pro

Author

Avatar for Jordan Kahn Jordan Kahn

Jordan writes about all things Apple as Senior Editor of 9to5Mac, & contributes to 9to5Google, 9to5Toys, & Electrek.co. He also co-authors 9to5Mac’s Logic Pros series.


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