Tomahawk, WI 2/24/2014 (Basicsmedia) – GT Advanced Technologies Inc. (NASDAQ:GTAT)’s partnership with the industry heavyweight Apple Inc (NASDAQ:AAPL) may be a game changer for the company but it has more aces up its sleeves. The company is into sapphire glass and related technologies and the use of sapphire glass extends beyond smartphones and tablets.

The Sapphire Glass Story:

Several users of glass are on the lookout for a transparent material that can withstand scratches. Such devices, particularly smartphones are subject to scratches from the time they are put into our pockets to the time they are allowed to rest on a table. The rough use plays havoc on the glass surface and can interfere with the touch screen capabilities of the phone. Sapphire glass being developed by GT Advanced Technologies Inc. (NASDAQ:GTAT) offers several benefits over the glass being used currently. In fact several smartphone manufacturers including Apple Inc (NASDAQ:AAPL) already use this glass for covering the camera lens. There are plans to use the sapphire glass for the complete display area, cost is a major factor.

The Collaboration:

Sensing a good business opportunity, Apple Inc (NASDAQ:AAPL) has tied up with GT Advanced and has agreed to provide $578 million in financing to establish a facility in Arizona. As Apple will be financing this facility, the output can be used only by Apple. The second benefit will be the costs. Apple can keep it under control by using its expertise in global out sourcing. But the main benefit will be in terms of competition. With a major supplier tied up, competitors will find it difficult to source the product and may not be able to incorporate it in their product.

GT Advanced Technologies Inc. (NASDAQ:GTAT) will also find a ready market for their production. Apple has not yet decided whether the sapphire glass will be used in all new versions of iPhones or only in iWatch. The company has already acquired 518 sapphire furnaces as well as related tools and machines.

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