Toshiba, Western Digital chiefs talk out memory spat
Dispute unresolved, but both sides agree to keep trying
TOKYO -- The heads of Toshiba and U.S.-based Western Digital met Wednesday to discuss ways of resolving their squabble over the Japanese group's efforts to sell its memory business.
Toshiba President Satoshi Tsunakawa and Western Digital CEO Stephen Milligan apparently decided to pursue further discussions during the meeting at Toshiba's headquarters. Milligan also evidently spoke with someone close to Japan's Ministry of Economy, Trade and Industry during his visit here.
The two companies jointly fabricate memory chips. In April, Western Digital sent Toshiba a letter demanding it halt the auction of Toshiba Memory, claiming exclusive negotiating rights for the newly spun-off operation.
Toshiba responded with letters dated May 3 stating that there are no problems with its procedures to unload the business. The conglomerate also intensified the dispute by threatening to deny Western Digital staff access to the jointly run Yokkaichi flash memory complex in Mie Prefecture if the American partner does not cease interfering in the auction by May 15.