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Toshiba would like to buy SanDisk too
According to the source, the head of Toshiba has said that the company is interested in acquiring its flash memory partner, SanDisk. Toshiba may take this step to prevent SanDisk from being bought by rival South Korean Samsung Electronics.
We will remind, unconfirmed so far officially that Samsung Electronics is considering the acquisition of SanDisk, arrived at the beginning of the month.
Such a move by the world’s largest flash memory manufacturer could be devastating for Toshiba. As you know, Toshiba is now inferior to Samsung in terms of production of flash memory, but plans to roughly double its production capacity through a partnership with SanDisk.
“We need to take proactive steps if (SanDisk) is considered a purchase,” said Toshiba’s semiconductor business unit leader, speaking to reporters on the sidelines of an industry forum on strategy and technology.
However, so far we are talking only about a fundamental interest, and not practical steps – if you believe the available information, the matter has not yet reached negotiations between the companies.
SanDisk acquisition would help Samsung reduce licensing costs and increase market share, analysts say.
Falling prices for flash memory puts manufacturers in a difficult position. SanDisk is considering selling NAND flash memory as platters or chips to remedy stocks.