The physical games market is on thin ice, with Sony adamant on putting a stop to physical discs for new PlayStation games. Although other companies have yet to follow suit, supply constraints may push them to make a similar decision. Apparently, Taiwanese semiconductor and memory manufacturer Macronix will be exiting the ROM business. The firm currently serves as the main supplier of ROM chips for Nintendo Switch game cartridges.

According to Taipei Times, Macronix CEO Miin Wu confirmed that the company will gradually phase out ROM production and instead focus on NAND and NOR flash memory chips. This decision is undoubtedly largely driven by the AI boom and the ongoing memory shortage. Wu noted that the demand for NOR used in data centres is “very robust”.