- Tech industry insiders have doubts that the Japan-backed consortium Toshiba (OTCPK:TOSBF, OTCPK:TOSYY) chose as its chip unit winner can successfully manage the unit, according to Reuters.
- State-backed fund Innovation Network Corp of Japan leads the consortium but has a mixed history with saving tech companies. Chipmaker SK Hynix belongs to the group but can’t participate in management due to antitrust laws.
- "No one in the consortium knows the management of the memory chip business as SK Hynix would stay in the background," says a senior Toshiba executive.
- Rumors emerged that the consortium was inviting Western Digital (NYSE:WDC) into the mix to thwart the company’s attempts to block the chip unit sale in court. But Western Digital could also provide more management assistance and knowledge.
- Previously: Toshiba chip unit winner offers Western Digital a place at the table (June 21)
- Now read: Is It A Tech Bubble All Over Again?
Original article