News

Apple plans Arizona iPhone plant

Apple plans Arizona iPhone plant

APPLE PLANT: The company plans an Arizona location. Photo: Reuters

(Reuters) – Apple Inc will open a manufacturing facility in Arizona in partnership with mineral crystal specialist GT Advanced Technologies Inc to make sapphire materials for Apple’s popular electronics devices.

The project will provide 700 manufacturing jobs in the first year and 1,300 construction and associated jobs in Mesa, Arizona, according to a statement by Arizona Governor Jan Brewer on Monday.

Apple confirmed the plan, but would not say exactly what components would be made at the new facility or what products they would appear in.

GT specializes in “crystal growth equipment” for consumer electronics and other industries. It said on Monday it signed a multiyear supply agreement with Apple to provide sapphire material, which has in the past been used in watches, optical instruments and integrated circuits. There have been reports that device makers are looking at sapphire crystal for use in screens.

Apple’s push to create jobs in the United States comes after scrutiny of its massive overseas cash reserves and conditions for workers at contract manufacturer facilities it uses in China.

The move also signals a tentative revival in U.S. manufacturing. Earlier this year, Apple revealed plans to build computers at a site in Austin, Texas, while Google Inc’s Motorola unit decided to assemble its new Moto X phones in the same state.

Big corporations such as Caterpillar Inc and General Electric Co have been shifting some production back to home soil over the past few years. Last month Wal-Mart Stores Inc announced a campaign to buy more U.S.-made goods.

GT said it will own and operate the furnaces to produce the sapphire material, but Apple will own the Arizona facility.

Under the terms of its supply deal, Apple will give GT a prepayment of about $578 million, which GT will pay back to Apple over five years, starting in 2015, GT said.

Recent Headlines

in Entertainment

Kevin Spacey’s stalker sentenced to 4 years

kevin

A Massachusetts woman who threatened to torture the actor has been sentenced to more than four years behind bars.

in Music

Iggy Azalea sues her ex

iggy

The pop star alleges her ex copied files and footage from her computer.

in Music

James Brown’s kids allege abuse, murder

jamesbrown

Grisly new books detail Brown's reputation as an abusive husband and suggest the singer was murdered.

in Entertainment

Nick Cannon’s $2M – yes, $2 million! – shoes

cannon

The shoes hold more than 14,000 full-cut diamonds set in white gold with a weight of 340 carats.

in Entertainment

Joan Rivers leaves fortune to her dogs

Joan-Rivers2

Oh, and some of it goes to her daughter too!