It had been thought that Toshiba would flog off its Hangzhou factory in China and leave the PC making industry for good. 

Sankei newspaper that said the Japanese conglomerate is planning to pull out of PCs as it restructures its business following a massive accounting scandal.

The Sankei said Toshiba, Fujitsu and VAIO are in talks to merge their PC businesses.

Toshiba would consign production of its Dynabook brand to Fujitsu and VAIO factories while it focuses on design and development, helping it cut costs.

The comment was strong enough for Toshiba to come out and say it was not even considering it.