Home > Security concerns for Japanese govt over sale of Toshiba chip business

Security concerns for Japanese govt over sale of Toshiba chip business

Editorial
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Apple suppliers TSMC and Foxconn may be disqualified from being able to buy stakes in Toshiba’s memory chip business due to security concerns by the Japanese government.

The government says it might control the auction and isn’t looking favourably towards Taiwan’s Foxconn due to its close relations with China.

Toshiba is looking to sell its flash-memory chip business due to is $6.3 billion write down of its US-based nuclear unit Westinghouse.

Toshiba itself says it would prefer a US buyer due to the aforementioned issue with the Westinghouse, and a source said that Toshiba “will take into account how close bidders are to China in the selection”.

However, the issue could be moot as Foxconn and TSMC are not in a position to bid for the business as they look to solidify orders from Apple partners with both companies in the production of its products.

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