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>> Apple is considering in teaming up with Foxconn to buy Toshiba's memory chip business. And it's not just another run-of-the-mill tech deal. It's really the latest move in an international chess match among the world's tech giants. It all unfolded like this, Toshiba, a long time jewel in Japan's crown, has plunged into a crisis brought on by the bankruptcy of its US nuclear unit, Westinghouse.
As a result, it put a portion of its prized memory chip unit up for sale. The second biggest in the world, behind Samsung's with memory chips being a key element in mobile products such as smartphones. Enter Foxconn, a Taiwanese company that assembles smartphones, which made a solo bid for the unit.
That put Toshiba in a tough spot. It wants Foxconn's money, but doesn't really want its chip business so close to the Chinese who it sees as a security threat. Now, enter Apple. Positioning itself to team up with Foxconn, which makes some of its iPhones. In a bid for roughly 30% of Toshiba's chip operation, according to Japanese broadcaster, NHK.
Foxconn bringing in a US partner could allay Toshiba's fears get at the billion dollars in cash it desperately needs, and still keep some portion of its stalwart chip business in its own hands. For Foxconn, it would mean another weapon in its sprawling production business. And what's in it for Apple?
More control of its prized supply chain. Something it's been searching for as costs rise and smartphone sales flatten.