Liquidmetal Technologies Inc (OTCMKTS:LQMT) manufacturing capabilities were affirmed after Apple Inc. (ASDAQ:AAPL) opted to retain rights to a unique metal alloy that it uses for its production process. As per the agreement, Liquidmetal Technologies is to contribute its developed or acquired technology to a special purpose subsidiary that will license the technology to Apple.
Improved Production Capacity
The extension of the deal comes on the confirmations that Liquidmetal Technologies Inc (OTCMKTS:LQMT) has already made its first delivery of production parts made at the Rancho Santa Margarita manufacturing facility. The innovative knife is the first of its kind that makes use of the Miltner Adams prototype.
Liquidmetal Technologies Inc (OTCMKTS:LQMT) has cemented its working relationship with the iPhone maker since signing their first agreement on August 5, 2010, that was further extended on Jun 15, 2012. The latest agreement extends the working relationship till February 5, 2016.
Apple uses the metal alloy supplied by Liquidmetal Technologies for its Sim card ejector, but there are reports that the company has bigger plans for it. The alloy that Liquidmetal Technologies Inc (OTCMKTS:LQMT) supplies Apple is 1.5 times harder than stainless steel making it a perfect fit for the production of electronic devices.
Expected Orders from Apple
There is talk in the media that Apple is considering using the bulk amorphous alloys in developing new internal device components as it already has a valuable patent for the same in place. For some time, Liquidmetal has been used in watches, eliciting further suggestions that Apple may consider using it for casings of Apple Watch, iPhones and Mac.
Last year, Apple announced it was considering deploying a diverse range of materials in its production process. However, Liquidmetal Technologies Inc (OTCMKTS:LQMT) could miss out on a potential deal with Apple for the amorphous material to be used in Apple Watch as it already has a separate deal with Swatch for the same.