Showing posts with label Sapphire. Show all posts
Showing posts with label Sapphire. Show all posts

Tuesday, February 25, 2014

Apple aggressively pushing to take Arizona sapphire plant live in February for ‘critical’ product component

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In November of last year, Apple announced that it would be opening up a new manufacturing plant in Mesa, Arizona. Since that time, little information has come out about the plant except that it would be utilized to manufacture sapphire crystal for future Apple devices. The plant will be operated by Apple in tandem with GT Advanced Technologies. Earlier this year, we learned via (now removed) Apple job listings that the plant would involve components for future iPhone and iPod product lines.

Now, we have tracked down documents (with the help of analyst Matt Margolis) showing correspondence between U.S. Foreign Trade Zone officials and Apple’s Deputy Director of Global Trade Compliance. The documents were made public today by the Foreign Trade Zones Board. The papers indicate the materials Apple will utilize to manufacture sapphire, share details about Apple’s “aggressive” plan to take the facility live, and provide a description of how the sapphire will be used in future Apple products…

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While Apple CEO Tim Cook declined to tell ABC News when the factory would begin preparing sapphire glass components, these new documents reveal that Apple plans to take the plant live in February (next month). Interestingly, Apple’s James J. Patton describes the goal of meeting a February go-live timeline as “aggressive.” A February launch for the plant would indicate that Apple will begin producing sapphire for integration with Apple products as soon as later this year.

Speculation on how Apple will use this sapphire has ranged from displays for future iPhones, solar panels, and all the way to glass for future Apple wearable devices. Other possibilities include sapphire production for the existing Touch ID iPhone Home button and iPhone/iPod touch camera lens covers. But Apple’s explanation makes the sapphire crystal sound even more interesting than covers for buttons and camera lenses (emphasis ours):

Apple’s definition of a “critical new sub-component” is obviously vague, but the word “new” likely indicates that this is for a component never used in previous Apple products. Combined with reports from earlier this week of Apple and Foxconn conducting test runs of sapphire iPhone displays, it seems plausible that a purpose of the Mesa, Arizona plant is to actually produce the sapphire screens.

Sapphire-covered iPhone screens would make the smartphones less susceptible to screen scratches, and this could improve the overall user experience of owning an iPhone. Apple has patented a method of doing this, and it would not be a stretch to assume that similar sapphire screen technologies could make their way to other Apple devices such as iPads, iPods, and even… iWatches.

Apple has also patented pressure-sensitive touchscreens, as a means of allowing additional gestures and disregarding accidental input.

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The documents also list some of the other components to be used at the Mesa facility (shown above). On the list: diamond cutting wire and alumina block. Alumina block and the heating equipment are components for manufacturing the actual sapphire crystal material. Diamond cutting wire has been utilized in manufacturing components of current Apple products, such as the bezels of the iPhone 5/5s, iPad Air/Mini, and, most recently, the Mac Pro.

The fact that this facility has diamond cutting wire is also interesting in light of the earlier mentioned job listings referring to this plant involving the design and engineering of iPhones and iPods.

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The document also includes a map of the plant (shown above). We’ve previously posted spy shots of the construction of the plant. This map does not bring us many new pieces of information, but it is interesting to see the scope of the facility.

Full PDF:



Apple just procured enough Sapphire Crystal furnaces to make 100-200M ~5-inch iPhone displays in Arizona

Last year, Apple and GT Advanced struck a deal to open and operate a manufacturing facility in Mesa, Arizona related to sapphire crystal components.

Earlier this year, we learned that Apple is “aggressively” pushing to make the facility operational by February 2014 and that the building would produce a “critical” and “new” sub-component for future Apple devices. Due to the vagueness and secrecy surrounding Apple and GT Advanced’s plans, there has been little to no confirmation regarding what exactly the partnership will yield for future Apple products.

But, thanks to new documents and information that we have uncovered with help of analyst Matt Margolis, we have a clearer picture of Apple’s plans…

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As we speculated in a previous article, it appears that Apple is planning to build sapphire-crystal displays for future iPhones. This is opposed to this facility building sapphire components for future Apple Touch ID fingerprint readers and caps for camera sensors. The proof that GT Advanced is preparing to manufacture sapphire for displays comes from import/export records. As can be seen in the image above, GT Advanced has ordered Intego Sirius Sapphire Display Inspection Tool components.

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Documents detailing those inspection tool components explain their purpose:

The machines will allow GT Advanced to ensure that the sapphire crystal displays meet high-quality standards. These machines are specific for display-grade components, not small pieces of sapphire that could be used for Home buttons or cameras.

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The machines are large and can process several slabs of sapphire crystal screen covers simultaneously. Above is a drawing of the equipment.

Because GT Advanced is not owned by Apple, it may be unclear if every component purchase by GT Advanced is for Apple-related purposes. Of course, GT Advanced has had several partners in the past. However, information from a recent GT Advanced SEC filing seems to point to all current work being exclusive for Apple-related uses:

Based on the above details from the SEC filing, Apple and GT Advanced are currently in an exclusive partnership in relation to “Consumer Electronics Products,” and this makes it unlikely that the new sapphire crystal display work could be for any other technology company’s products.

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Both pieces work together to transform sapphire crystal material into “boules” that look like large hockey pucks. Those “boules” are then re-processed, polished, and sliced into the shapes of displays.

As of now, according to shipping documents and other data from Margolis, GT Advanced has received 518 of the pictured units, with another 420 machines on order (that have yet to be assembled). The first 518 units, according to Margolis, could build between 103 million and 116 million ~5-inch displays per year. The additional machines would nearly double that annual output with an additional 84 million to 94 million screen covers. GT Advanced has also ordered over 100 tons of graphite material to heat the furnaces.



Next iPhone reportedly sports a larger screen and sapphire crystal display

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Apple is preparing to release not one, but two new versions of the iPhone in September, according to the South China Morning Post. Each version will ship with a larger display than the iPhone 5s, coming in at a whopping 4.7″ and 5.5″, respectively. The displays are said to have a pixel density of 441ppi, much higher than the current 326ppi found in the iPhone 5 and later.

The report also states that both displays will be made from sapphire crystal, which fits with recent reports that Apple is planning to have its latest sapphire plant in Mesa, AZ operational in February for a “critical” product component. The displays will also be flat, not curved, the Post says.

Finally, the report indicates that the iPhone 5c will be removed from the lineup when the iPhone 6 is released, while the 5s will stick around but be made from cheaper materials.



Taiwanese report reiterates 4.7 inch and 5.6 inch iPhones incoming, claims larger model will not use iPhone branding

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A report published in Taiwan’s Economic Daily News, via Mac Otakara, reiterates the flurry of previous reporting that Apple will release two new iPhones this year with larger displays, around 4.7 and 5.6 inches respectively. This has been reported countless times in the past by multiple sources. It also says that Apple is targeting a release in the third-quarter, again unsurprising at this point.

However, the report goes onto say that only the larger of these two phones will feature sapphire-glass. According to this sketchy report, the 4.7 inch model will continue to use Corning’s Gorilla Glass like the current iPhone 5s and 5c.

9to5Mac reported Apple was readying its Arizona factory to produce sapphire glass for iPhone screens earlier this month. With Apple only just ramping their use of sapphire this year (also rumored to be used in the iWatch), the claim that sapphire will be used for just one iPhone variant is not unreasonable due to potential supply constraints.

What is much less likely, is what the Economic Daily News says next. It claims Apple will not name the larger ~5.6 inch device an iPhone. According to their information, Apple will treat this form of iPhone as an ‘experimental’ product and not use the iPhone name. However, this last claim should definitely be approached with skepticism. Apple is unlikely to complicate its product lineup by distinguishing the 4.7 and 5.6 inch models any more than they do with the 5s and 5c — although they feature different suffixes, they are both iPhones.

Moreover, why would ‘first-hand supply chain sources’ have knowledge of Apple’s branding and marketing plans?