Just heard from a source Apple will be using the newly invented and patented anti-microbial glass from GLW (Corning Incorporated). GTAT will still have the touch sensor that was recently introduced in the iPhone 5S.
Can't wait to use iPhone 6 when it comes out. Think of all the germs and bacteria that we press on our face and touch with our fingers. GLW will have the new gorilla glass with anti-microbial properties incorporated into the iPhone screen. This is big news for GLW. Think of using a phone where 99% of the germs are killed on contact. Gorilla Glass is light and extremely durable and that is why Apple will continue using GLW's glass for the iPhones, iTouch, iMacs and virtually all Apple products. GTAT not so good in the near term, sapphire might still be on the touch sensor but the prize is on the Apple iPhones that Corning got. Even worse the margins GTAT get from Apple is extremely which will actually hurt GTAT earnings.
GTAT won't have enough capacity to supply meaningful iPhone 6 volumes. With the plant running at full capacity factoring expansion there is only enough to supply 80 million iPhones a year. Apple sells that many in one quarter if not that many in China alone. It would be foolish for Apple to even consider GTAT as cover glass for the iPhone. Corning on the other hand would have no problem meeting Apple's volumes through gorilla glass which is actually better that GTAT through numerous tests and even better with anti microbial gorilla glass soon to be out in the market.
Every touch screen device should be using anti microbial glass in the future. The market is huge for Corning.
GTAT at best would supply sapphire for the iWatch and with Apple's investment you know GTAT will miss earning projections. The margins Apple negotiates with suppliers are pitiful. Why do you think Apple paid upfront for GTAT materials, bc Apple is paying GTAT the lowest price Apple can get. Analyst estimates will be missed and GTAT will crater due to the high expectations.
This board thinks GTAT just cured cancer & heart disease, but GTAT's biggest thing going for the company is its enormous debt, not their vague contract with the big AAPL. GTAT is going down to under $6 range. So far it is all a bunch of hype on this board.. Sapphire has been around for decades. I have had 4 Rolex watches break their sapphire crystals by dropping them on tile floors. I then changed to an acrylic crystal & the crystal has lasted 20 years with no breakage because it is not so hard & brittle. Sapphire is VERY brittle & susceptible to chipping & breaking, but Gorilla glass is more resilient & does not break when dropped on a tile floor. Been there, done that. Granted, sapphire is hard & does not scratch easily, but it is brittle & breaks easily when dropped on a hard surface. Compare this whole scenario to the hardest substance in the human body... enamel on your teeth. Ever chip a toot & need a crown for $1k or more ?
Tim Cook is already backing out of the sapphire plant deal on the sapphire BS. He is diplomatically saving face by using sapphire in the iwatch like Rolex did in their watches decades ago. Cook is decades behind the times & so is Rolex.
I have an enormous background in physics, chemistry & metallurgy. I know what I am talking about. Sapphire is scratch resistant, but very brittle & fairly susceptible to fracture. Does AAPL tolerate fracture over a scratch that can be polished out of their screen (as I have done on my acrylic Rolex crystal numerous times)? The answer is in the iphone 6 build out where APPL now said no sapphire in the iphone 6 sreen (today). Cook apparently finally consulted engineering experts that FULLY evaluated ALL sapphire physical properties.
GTAT could be a worthless company. AAPL will do fine without sapphire.
DJ PUMPING, example number 1
djhmk2 • Feb 6, 2014 10:17 PM
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Thomas Wroe Jr., director, aquisition on 2-4-14
13,114 shares. See SEC filings for 2-6-14.
Looking for cup formation completion at or above $10.75. There may not be much of a handle to this one.
Sentiment: Strong Buy
This is funny. You don't think AAPL would have had 100 of you with better physics, chemistry & metallurgy background to do the research before dropping 500 million to this project? Let's assume you are even better than the 100 PHD combined in AAPL research team, would such a genius posting msg on this board? Let's assume you are right, apple is dumb, how come apple is one of the biggest company in the world and you are posting msg on this board? The only logic that makes sense here is that AAPL will switch to sapphire for a very good reason worth MORE than $500.
Total BU76sh#@!!!!!!!!!!! So what is Mesa and it's 1.3 million square plant for Mr. BS artist??? IGNORED!!! Have fun shorting and losing your $50.00 LMAO!!!!
Sentiment: Strong Buy
I'm going follow that lead Stargazer. So Apple gives GTAT 578 million to produce sapphire and buys a building for 113 million and plans to hire up to 700 employees to put buttons on Apple Iphones. Then you have big institutional acquiring more shares because they want to lose money. And what corresponding university did you attend. My advice to you is keep washing those hands so the germs don't get you and pull your head out of the chute.
It raises the question: If not the iPhone, then what on earth will Apple be doing with the prodigious amount of sapphire the Mesa factory will produce?
A recent Bloomberg report quoted Eric Virey, an analyst with Yole Développement, a research firm that studies the market. Apple's Mesa plant will make an "unprecedented" amount of synthetic sapphire, Virey said. Virey further stated that "When it's operating at full capacity, this plant is going to be producing as much as two times the current worldwide capacity," he said. The factory will be able to make enough sapphire for 80 million to 100 million iPhones a year, he said.
About Yole Développement:
Founded in 1998, Yole Développement has grown to become a group of companies providing marketing, technology and strategy consulting, media in addition to corporate finance services.
With a strong focus on emerging applications using silicon and/or micro manufacturing, Yole Développement group has expanded to include more than 50 associates worldwide covering MEMS, Compound Semiconductors, LED, Image Sensors, Optoelectronics, Microfluidics & Medical, Photovoltaics, Advanced Packaging, Nanomaterials and Power Electronics. The group supports industrial companies, investors and R&D organizations worldwide to help them understand markets and follow technology trends to develop their business.