Chinese server and software maker Inspur and the provincial government of Shandong are in talks with insolvent German memory-chip maker Qimonda about a co-operation agreement that could boost China’s semiconductor industry.

Inspur said it and “other electronics and IT companies in the province” were in touch with the Shandong government, which was in turn “in contact and exploratory [talks] with Qimonda and other foreign companies” about making chips.