Apple ‘surprised’ by sapphire maker’s bankruptcy

By

This year will be the iPhone's biggest camera upgrade ever.
Sapphire is used to protect the iPhone's rear-facing iSight camera. Photo: Jim Merithew/Cult of Mac
Photo: Jim Merithew/Cult of Mac

Apple’s plan to put sapphire glass in everything took a tumble this week when its exclusive supplier GT Advanced Technologies filed for bankruptcy, and according to Apple’s spokesman, they were just as shocked as all of us.

In a statement issued this morning to Reuters, the Apple spokesman Chris Gaither said the company was ‘surprised’ by GT’s decision to file for Chapter 11 bankruptcy, but they haven’t given up on its AZ plant yet.

“We are focused on preserving jobs in Arizona following GT’s surprising decision and we will continue to work with state and local officials as we consider our next steps.”

GT Advanced Technologies’ stock plummeted shortly after it was revealed that the iPhone 6 uses Gorilla Glass instead of GT’s sapphire. The company’s CEO made $10 million offloading his shares ahead of the iPhone 6 event.

Apple agreed to lend GT $578 million to help get its Arizona sapphire plant running, but it was revealed yesterday that the company withheld its final $139 million payment, presumably because GT failed to meet production requirements.

Source: Reuters