GT Advanced Technologies and its subsidiaries have filed for bankruptcy after being shunned by erstwhile partner Apple, according to Reuters’ Swetha Gopinath. GT Advanced was meant to provide the shatter-resistant glass for Apple’s big-screen iPhone plus but was mysteriously dropped late in the game as Apple apparently found another provider.
This has apparently come as a pretty big surprise to those familiar with the organizations. One prominent proprietary trader commented that GT Advanced had been an industry darling not long ago, offering almost unbreakable glass of the same material that Apple uses for its iPhones’ camera covers and the touch sensors used for its Touch ID biometric scanning.
Indeed there must have been a certain amount of trust and good faith between the companies, as apparently the deal that had been made between them restricted the ability of GT Advanced to license its glass products to companies other than Apple, while at the same time providing no guarantee that Apple would ultimately purchase those products. Now, having seen its share price increase by over 100 percent after the unveiling of the new iPhones, GT Advanced has watched its shares drop by 36% in the wake of its falling out with Apple.