To: Jerome who wrote (2223 ) 11/20/2014 11:03:50 AM From: Kirk © 1 RecommendationRecommended By Gottfried
Read Replies (1) | Respond to of 26689 An excellent read and it makes me glad I have not invested in Apple above what I'm stuck with given all the index funds I own. Hard to believe they would base billions of business on a technology that was NEVER proven... Inside Apple’s Broken Sapphire Factory How $1 Billion Bet on iPhone Screens Failed; the ‘Boule Graveyard’By DAISUKE WAKABAYASHI Nov. 19, 2014 5:27 p.m. ET Shortly before 7 a.m. Pacific time on Oct. 6, the chief executive of GT Advanced Technologies Inc. called an Apple Inc. vice president with bad news: GT, which was to supply Apple with superhard sapphire screens for its new iPhones, had filed for bankruptcy 20 minutes earlier. The Apple-GT marriage was troubled from the start. GT hadn’t mass-produced sapphire before the Apple deal. The New Hampshire company’s first 578-pound cylinder of sapphire, made just days before the companies signed their contract, was flawed and unusable. GT hired hundreds of workers with little oversight; some bored employees were paid overtime to sweep floors repeatedly, while others played hooky. Mr. Gutierrez said he was there to “fall on his sword,” the Apple letter said. After the meeting, GT decided to stop producing 578-pound boules and make 363-pound cylinders to get the formula right. When a boule was suitable, GT used a diamond saw to carve 14-inch thick bricks in the shape of Apple’s two new phones: the iPhone 6 and iPhone 6 Plus. Those bricks would be sliced lengthwise to make screens. Manufacturing wasn’t the only problem. In August, one of the former workers said, GT discovered that 500 sapphire bricks were missing. A few hours later, workers learned that a manager had sent the bricks to recycling instead of shipping. Had they not been retrieved, the misfire would have cost GT hundreds of thousands of dollars.