December 14 news, according to Reuters, Apple announced that it invested 390 million US dollars to the optical parts manufacturer Finisar to boost the iPhoneX laser chip production, these laser chips can achieve Face ID, Animoji and portrait mode photos and other functions.
Apple has promised to invest at least US$1 billion in US companies through the Advanced Manufacturing Fund to support high-tech manufacturing. In May of this year, Apple invested $200 million in Gorilla glass maker Corning.
However, Finisar clarified that Apple's funds are not investment in Finisar's bonds or equity.
After Apple announced the news, Finisar's share price rose by 30%. After it clarified the nature of the investment, the share price rose to 22%.
Finisar stated in a document, "The funds mentioned by Apple will be used for the expected business between the two companies in the near future."
Finisar will use the funds to reopen a 65,000-square-meter facility in Sherman, Texas, to increase the production of VCSEL laser chips.
Apple CEO Tim Cook sent a tweet saying: “The innovative power of the core of Texas! We are proud to cooperate with Finisar, the latest recipient of advanced manufacturing funds.â€
These laser chips will also be used in 3D sensors for AirPods and Apple wireless headphones.
According to Finisar, the new factory will begin shipping in the second half of 2018.
Apple said that in the fourth quarter, Apple’s purchase of VCSEL chips will increase 10 times over the same period last year.
Needham & Co analyst Alex Henderson (Alex Henderson) said: "Apple is accelerating its investment in a second supplier to reduce risk."
He pointed out that Lumentum is currently Apple's largest supplier of VCSEL chips and has thus become Apple's "only source of risk."
Lumentum's stock price fell by 2%, and it once fell to 12% during the trading day. (Xi Chen)