GT's bankruptcy stems from sapphire glass not meeting Apple's requirements

Last week, sapphire material manufacturer GT Advanced Technologies suddenly declared bankruptcy, shocking the industry. Subsequently, Apple also said that GT filed for bankruptcy is "a shocking decision." Sources said that Apple has been working with GT to ensure that the company has the ability to repay debt. Regarding the reasons for the bankruptcy of GT, the Wall Street Journal wrote for the first time that GT Advanced could no longer meet the terms of the contract signed with Apple. The direct reason was that the company could not provide Apple with the sapphire glass required for the production of the iPhone 6 mobile phone line. This means that GT Advanced seems to have caused a breach of contract.

GT Advanced Technologies said on Friday that it will lay off 890 people and shut down an Arizona plant that is expected to produce a scratch screen for Apple. The company also stated that it will be possible to claim against Apple and carry out bankruptcy reorganization.

Last week, sapphire material manufacturer GT Advanced Technologies suddenly declared bankruptcy, shocking the industry. Subsequently, Apple also said that GT filed for bankruptcy is "a shocking decision." Sources said that Apple has been working with GT to ensure that the company has the ability to repay debt. Regarding the reasons for the bankruptcy of GT, the Wall Street Journal wrote for the first time that GT Advanced could no longer meet the terms of the contract signed with Apple. The direct reason was that the company could not provide Apple with the sapphire glass required for the production of the iPhone 6 mobile phone line. This means that GT Advanced seems to have caused a breach of contract.

GT Advanced Technologies said on Friday that it will lay off 890 people and shut down an Arizona plant that is expected to produce a scratch screen for Apple. The company also stated that it will be possible to claim against Apple and carry out bankruptcy reorganization.

5.5 inch exclusive sapphire screen will not become the standard iPhone

Raw material for sapphire glass screens (Image courtesy of wall street journal)

GT Advanced has been secretive about its own financial distress. According to the "Non-Disclosure Agreement" the company has mentioned to the court a few days ago, it is basically certain that it will involve related important terms with Apple, and hopes to avoid further information will be disclosed. GT Advanced also requires judges not to open the hearing process to the public, and to keep confidential the relevant important agreements involving third parties because leakage of confidential information means that they will bear greater financial compensation losses.

According to reports, on Wednesday, the bankruptcy court will hold the first court hearing in accordance with GT's application.

Last week, sapphire material manufacturer GT Advanced Technologies suddenly declared bankruptcy, shocking the industry. Subsequently, Apple also said that GT filed for bankruptcy is "a shocking decision." Sources said that Apple has been working with GT to ensure that the company has the ability to repay debt. Regarding the reasons for the bankruptcy of the GT, the Wall Street Journal wrote for the first time that &n. . . GT Advanced has been secretive about its own financial distress. According to the "Non-Disclosure Agreement" the company has mentioned to the court a few days ago, it is basically certain that it will involve related important terms with Apple, and hopes to avoid further information will be disclosed. GT Advanced also requires judges not to open the hearing process to the public, and to keep confidential the relevant important agreements involving third parties because leakage of confidential information means that they will bear greater financial compensation losses.