Taiwan Semiconductor Manufacturing Company (TSMC) has withdrawn its offer for Toshiba's highly sought-after NAND flash memory business, leaving major Apple supplier Hon Hai in the driving seat to acquire the unit.

Hon Hai, also known as Foxconn, has offered up the highest bid so far, with almost 3 trillion Japanese yen ($30 billion) said to be on the table, according to Japanese paper Asahi Shimbun on Friday. Shares in Toshiba jumped 7 percent on the news.

toshiba
Toshiba is said to have narrowed down the number of bidders for its semiconductor business, which it is seeking to sell in order to raise at least $9 billion to cover U.S. nuclear unit charges that threaten the conglomerate's future.

Out of the initial 10 interested parties one of which was reportedly Apple, the smaller group of bidders includes Western Digital, Korea's SK Hynix, U.S. investment fund Kohlberg Kravis Roberts & Co, and a combined partnership bid from Silver Lake Management and U.S. chipmaker Broadcomm. Media reports made no mention of whether Apple made the cut, making the prospect seem unlikely.

Japan's government could oppose a sale to Taiwan-based Foxconn because of the strategic value of Toshiba's technology to the national interest, according to sources who spoke to Bloomberg. Toshiba reportedly wants to encourage Japanese companies to participate in the bidding process, since none are in the current group.

The second round of the bidding war is expected to be held before the end of May, with the winner is expected to be announced in June before Toshiba's next shareholder meeting.

Top Rated Comments

Michaelgtrusa Avatar
98 months ago
Now that's good international trade policy!
They should block Foxconn as they would most likely hand technology over to communist china, but others may do the same. WD or Apple should have this.
Score: 2 Votes (Like | Disagree)
Sasparilla Avatar
98 months ago
Wow, this is heavy duty manufacturing. Apple better be careful about being on the hook with these guys too much - and keep their own independent capabilities around.

Dell made all their own stuff originally, then started having a little subcontractor ASUS do more and more of their stuff (making circuit boards, then motherboards, some assembly...). It all made sense from a MBA perspective, saving money all along the way, but in the end DELL just became a money losing brand name shell that doesn't actually make anything - and ASUS is a respected PC manufacturer who makes everything. Foxconn isn't going to make its own Macs, but Apple needs to be careful about relying on them too much.
Score: 2 Votes (Like | Disagree)
Vanilla35 Avatar
98 months ago
They should block Foxconn as they would most likely hand technology over to communist china, but others may do the same. WD or Apple should have this.
Money speaks louder than morality. In business, anyway
Score: 2 Votes (Like | Disagree)
M.PaulCezanne Avatar
98 months ago
Japan's government could oppose a sale to Taiwan-based Foxconn because of the strategic value of Toshiba's technology to the national interest, according to sources who spoke to Bloomberg ('https://www.bloomberg.com/news/articles/2017-04-07/toshiba-said-to-narrow-group-of-bidders-for-chips-business'). Toshiba reportedly wants to encourage Japanese companies to participate in the bidding process, since none are in the current group.
Now that's good international trade policy!
Score: 1 Votes (Like | Disagree)

Popular Stories

space black mbp

Apple Potentially Facing Worst Leak Since iPhone 4 Was Left in a Bar

Monday October 7, 2024 3:03 pm PDT by
Alleged photos and videos of an unannounced 14-inch MacBook Pro with an M4 chip continue to surface on social media, in what could be the worst product leak for Apple since an employee accidentally left an iPhone 4 prototype at a bar in California in 2010. The latest video of what could be a next-generation MacBook Pro was shared on YouTube Shorts today by Russian channel Romancev768, just...
Alleged M4 MacBook Pro Leak Video

Alleged M4 MacBook Pro Unboxing Video Reveals These Four Upgrades

Sunday October 6, 2024 6:10 pm PDT by
An alleged unboxing video for an unannounced 14-inch MacBook Pro with the M4 chip was uploaded to YouTube today by Russian channel Wylsacom. The video was later linked to on social media platform X by Bloomberg's Mark Gurman. It is possible that this is the same MacBook Pro box shown in photos that were shared by leaker ShrimpApplePro in late September, as he claimed that this MacBook Pro...
M4 Real Feature Red

Gurman: Apple to Launch First M4 Macs and Potentially iPad Mini 7 on November 1

Sunday October 6, 2024 6:40 am PDT by
Apple will announce several new M4 Mac models around the end of October, with the company planning to launch at least some of them as soon as Friday, November 1, according to Bloomberg's Mark Gurman. Writing in his latest Power On newsletter, Gurman said that Apple will launch a new M4 version of its low-end 14-inch MacBook Pro, as well as higher-end 14-inch and 16-inch MacBook Pro models...
watchos 11 vitals

Apple Watch Users Report Vitals App Detecting Illness Before Symptoms Appear

Monday October 7, 2024 5:34 am PDT by
Apple's new Vitals app for watchOS 11 appears to be impressing some users with its ability to detect potential illness days before symptoms manifest, according to recent reports on Reddit. The Apple Watch app, which analyzes key health metrics measured during sleep over the last seven days, appears to be providing early warnings of impending sickness for at least some Apple Watch wearers...
Generic iOS 18

Apple Plans to Release iOS 18.1 With Apple Intelligence on October 28

Sunday October 6, 2024 6:18 am PDT by
Apple intends to launch iOS 18.1 with the first set of much-anticipated Apple Intelligence features on October 28, according to Bloomberg's Mark Gurman. Writing in the latest edition of his Power On newsletter, Gurman says the release date is arriving this month later than initially expected, as Apple is reportedly taking extra time to ensure a smooth rollout and prepare its AI cloud...
Generic iOS 18

Everything New in iOS 18.1 Beta 6

Monday October 7, 2024 4:27 pm PDT by
We're nearing the end of the iOS 18.1 beta testing process, but Apple is continuing to make tweaks to refine built-in features ahead of when the software launches. With testing winding down, there are fewer new additions, but Apple has made changes worth noting. The new beta is available for both developers and public beta testers. Control Center In the Control Center, Apple has added new...
iPad mini review thumb

iPad Mini 7 Coming Next Month: What to Expect

Tuesday October 8, 2024 6:16 am PDT by
Rumors strongly suggest Apple will release the seventh-generation iPad mini in November, nearly three years after the last refresh. Here's a roundup of what we're expecting from the next version of Apple's small form factor tablet, based on the latest rumors and reports. Design and Display The new iPad mini is likely to retain its compact 8.3-inch display and overall design introduced with...