There was a lot of speculation leading up to the launch of the iPhone 6 about whether the device would have a sapphire display. That obviously never happened and one reason that’s been cited by some analysts has been that it simply would have been too costly to mass produce large displays made from sapphire. Now it looks like making sapphire displays is even costlier than we thought because Apple sapphire supplier GT Advanced Technologies has just announced that it’s filed for bankruptcy.
In a press release posted on its website, GT Advanced says that it’s filed for Chapter 11 bankruptcy protection although the company insists that it isn’t going out of business.
“GT has a strong and fundamentally sound underlying business,” said GT Advanced Tom Gutierrez. “Today’s filing does not mean we are going out of business; rather, it provides us with the opportunity to continue to execute our business plan on a stronger footing, maintain operations of our diversified business, and improve our balance sheet.”
GT Advanced still has $85 million in cash on its balance sheet and the company also says it “is now seeking debtor-in-possession financing, which, once obtained, would provide the company with an immediate source of additional funds.” It also says that it “expects the court will authorize the company to continue to conduct business as usual while it devotes renewed efforts to resolve its current issues and develops a reorganization plan.”
It’s not known at this time whether this will impact sapphire display supplies for the upcoming Apple Watch.