Bankrupt GT Advanced to repay Apple with the sale of over 2,000 sapphire furnaces
Bankrupt Apple partner, GT Advanced, has announced that it will sell over 2,000 of its sapphire-infused glass furnaces to repay a debt following a $439m loan last November.
The sapphire glass will be used in the Apple Watch
The firm, which went bankrupt early in October, has agreed to repay a half a billion dollar loan it received to produce sapphire components for Apple, with the super-hard glass, set to be a major component of the Apple Watch when it is released in 2015.
Last week, during a court case where the firm was filing for bankruptcy protection, GT announced that its relationship with Apple was “oppressive and burdensome”. To repay the debt, Apple Insider reported that GT will minimise its sapphire glass production capabilities by selling 2,039 of its furnaces to third party firms.
Luc Despins, GT’s attorney, said that the groups had reached an “amicable parting of ways” and claimed that the firm could work with Apple again in future.
Sapphire glass was previously used in the iPhone 6’s rear camera and the Touch ID home button but was touted for greater use in the displays of the next iPhone.
Lawyers for the tech firm also claimed that that Apple had placed a $50m non-disclosure charge upon GT to prevent it from leaking any information regarding the future iPhones and smart watches.
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