Toshiba denies that the suspension of sales of chip business rumors Western Digital to exert pressure on it

[Global Network Technology Reporter Chen Jian] According to Toshiba’s recent sales of chip business, there have been reports that Toshiba stopped selling chips, which Toshiba denied on Friday. According to foreign media, under the pressure of partner Western Digital, Toshiba has temporarily suspended all conferences and decisions related to the sale of its storage chip business. Toshiba denied this, and a Toshiba spokesperson stated that "the report of Toshiba’s suspension of the sale of the chip business is not true." On Thursday, Toshiba's partner Western Digital made a sudden request to Toshiba that if Toshiba sells its semiconductor business, it would violate the contract between the two companies. This week in a warning letter that this sales process undermined the joint venture agreement. Western Digital also urged Toshiba to provide exclusive bargaining rights in the letter. Western Digital CEO Steve Milligan sent a letter to Toshiba’s board of directors saying that Toshiba should first conduct exclusive negotiations with Western Digital. He believes that rumored acquisitions of the Toshiba Semiconductor business may not be appropriate, and the rumoured offer price is higher than the fair value of the business. Toshiba’s chip division is the world’s second-largest maker of NAND chips, and Toshiba’s valuation is around US$18 billion. Toshiba previously said that it will sell most or even all of its chip business to help offset losses and create a buffer against further losses.

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