back to article China changes its mind on Bain's Toshiba chip takeover plans

The government of China will not stand in the way of the Toshiba Memory Corporation's sale to US investment house Bain Capital. Both Bain and Toshiba announced on Thursday that they were set to finalize the deal next month after antitrust officials in China had cleared the merger that had already been approved in the US and …

  1. Anonymous Coward
    Anonymous Coward

    I don't get the caption photo here...

    1. E_Nigma

      It's just a generic picture representing China, a giant panda reading from Mao's Little Red Book.

      1. John Brown (no body) Silver badge

        It's just a generic picture representing China, a giant panda reading from Mao's Little Red Book."

        Like most media, some people seem to think the story won't be read if it's not got a pretty picture under the headline. If they can't find a relevant one, then any old one with any kind of vague relationship will do. I thought El Reg had a better opinion of it;s readers than that.

        1. Anonymous Coward
          Anonymous Coward

          I thought El Reg had a better opinion of it;s readers than that.

          Maybe the editors have been reading the comments section?

        2. diodesign (Written by Reg staff) Silver badge

          Studies have shown that articles are trusted more if there is a picture under the headline. We try to make them as relevant as possible.

          C.

  2. Anonymous Coward
    Anonymous Coward

    Toshiba HDD drives are very good

    Toshiba HDD drives are very good and better than the competition (Seagate, WesternDigital).

    Nowadays as many jump to SSDs, it's very important that HDDs stay around. Why? Because HDDs have a much greater lifetime, cost a lot less per TB storage and are fast enough for many things. (well except for boot partition of ones notebook/desktop)

    So it's good that Toshiba produces HDDs, it's the smaller player of only three manufacturers left. Otherwise we would have a duo-poly of Seagate and WesternDigital and we all know how bad such things are. Costs of 3.5" HDDs are high ever since the Thailand flooding several years ago. Cloud hosters and state sponsored slurpers are eating masses of HDDs and end consumers are left with small batches of expensive consumer grade drives.

    1. Anonymous Coward
      Anonymous Coward

      Re: Toshiba HDD drives are very good

      Toshiba HDD* drives are very good** and better than the competition (Seagate***, WesternDigital*).

      Nowadays as many jump to SSDs, it's very important that HDDs stay around. Why? Because HDDs have a much greater lifetime, cost a lot less per TB storage and are fast enough for many things. (well except for boot partition of ones notebook/desktop)

      So it's good that Toshiba produces HDDs, it's the smaller player of only three manufacturers left. Otherwise we would have a duo-poly of Seagate and WesternDigital and we all know how bad such things are. Costs of 3.5" HDDs are high ever since the Thailand flooding several years ago. Cloud hosters and state sponsored slurpers are eating masses of HDDs and end consumers are left with small batches of expensive consumer grade drives.

      * WesternDigital bought HGST in 2012, and due to requirements of regulatory agencies they kept only the 2.5" drive business from HGST and sold the HGST 3.5" drive manufactor plant to Toshiba, that's what is nowadays known as Toshiba HDD drives. https://en.wikipedia.org/wiki/HGST

      ** Hard Drive Stats for Q1 2018: https://www.backblaze.com/blog/hard-drive-stats-for-q1-2018/

      *** In April 2011, Samsung Electronics sold its HDD commercial operations to Seagate Technology for approximately US$1.4 billion. Starting in May 2011, Seagate sold Samsung and Seagate drives for several years afterwards under the combined Seagate brand.

  3. Art Jannicelli

    Vulture capitalism

    If Bain follows their usual MO...

    Borrow against the name, extract massive consulting fees... Then liquidate... They will not be competing for long.

    You know 'Americanize' them.

    https://www.rollingstone.com/politics/news/greed-and-debt-the-true-story-of-mitt-romney-and-bain-capital-20120829

    1. HausWolf

      Re: Vulture capitalism

      Was just getting ready to post that.

      Ask Toy R Us how that works out for them.

    2. Yet Another Anonymous coward Silver badge

      Re: Vulture capitalism

      Which is why China approved it - they are allowing American investors to pay to destroy a Japanese competitor.

      Of course this means you have to think strategically- beyond tomorrows morning news show

    3. John Brown (no body) Silver badge

      Re: Vulture capitalism

      "If Bain follows their usual MO...

      Borrow against the name, extract massive consulting fees... Then liquidate... They will not be competing for long.

      You know 'Americanize' them."

      I've never heard of Bain, but as soon as I read "private equity house", my thoughts matched yours almost exactly. This is not a manufacturer or tech company growing or expanding, it's a big money machine looking to make more money, whether the acquired business survives in the long term or not,

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