GT Advanced Technologies Inc fka GTAT

[Netsurfer]

I never really undersrood why GT designd their own packaging in the first place. In late 2012 they were even subbing out the assembly of their prototype machines at an assembly house over an hour away.......all to reduce the labor force...they did not want 3 techs doing the assembly and had to send the engs to the site everytime there was an tech issue. With a first of proto there were 10 issues a day. Yet they continued to design boxes and foam inserts.

The Mesa systems could support a large part of the demand with the smaller boule size which they apparently could do at reasonable yields. This would not hit Apple's cost targets but as an option the premium may be acceptable to some segment of the market. I have had an iPhone 5 for about 2 years and the plastic protective cover has been just fine.....I am not a leading edge technical adopter and a sapphire screen is not a motivator for me.

If all the majors wanted 100 % sapphire covers on all their phones, capacity would fall far short. As a high end would give the GT units a chance with the smaller boules.
option there is probably capacity especially if someone As you mentioned, there are phones being offered with sapphire screens. Not sure who or in what quantities but it will increase.

Economies of scale will come into play here as a bunch of smaller
suppliers supplying to different phone mfgrs will not do much to drive the cost down. That was the case with Silicon and Sapphire in China. There was a lot of consolidation with the OEM'S with 50, 75 or 100 systems. There is probably room for 2 or 3 max...my guess.

There is vry little if any R & D taking place in MMK ...do not know about AZ. There is probably not enough free cash to do much by way of advancing the 262 Kg process right now. Two of the more senior members of the tech staff are no longer at GT although there are a few lower level staff still there.

I worked under all three GT CEO's so I saw how the culture changed...in the spirit of full disclosure.