Supplier Shift
Nintendo is about to lose a major memory supplier for its Switch cartridges. The supplier, Macronix, announced during a recent quarterly earnings call that it would be gradually phasing out ROM production and is instead focusing on NOR flash memory for data centers, according to reports.
Nintendo is losing a Switch cartridge supplier
Nintendo ROM supplier Macronix is leaving the business as demand for its data center memory booms.
Data Center Boom
Macronix’s ROM revenue fell 39 percent compared with last year in Q3 2026, but its revenue from NOR memory rose 158 percent, and its revenue from NAND memory surged 768 percent year over year. Chairman and CEO Miin Wu stated during the Q3 2026 earnings call that demand for NOR used in data centers is very robust, with customers requesting more capacity and flash solutions.
Physical Game Strategy
Although Sony has announced a plan to stop production of physical game discs starting in January 2028, Nintendo remains committed to physical media, stating recently that it has no plans to abandon physical games. Physical releases continue to make up a substantial portion of Nintendo's software sales compared to industry peers.
Macronix’s exit from the ROM business follows similar industry shifts toward infrastructure supporting artificial intelligence and enterprise workloads.
