Palit denies Galax factory closure and chip shortage rumors for Nvidia RTX GPUs

Palit Addresses Closure Rumors

Palit, a vendor for Nvidia RTX GPUs, released an official statement denying recent speculation regarding the closure of its Galax factory. The rumors suggested that the factory, responsible for producing Nvidia RTX 50-series GPUs, had shut down due to an inability to secure a sufficient supply of Nvidia chips.

Operations Continue as Normal

According to Palit's press release, its operations are continuing as usual, and no manufacturing facilities have been shut down. The company confirmed that customers can still purchase Galax GPUs through existing domestic and international distributors and retailers. Palit also noted that Galax and Palit share the same factories, and production remains unaffected.

Origin of the Speculation

The initial reports of a potential Galax closure stemmed from a Spanish news outlet, which claimed Palit could no longer supply Nvidia GPU chips to Galax, making continued operation unviable. This speculation arose shortly after Galax launched its GeForce RTX 5080 HOF Extreme model. Earlier in the year, similar rumors emerged following a restructuring of Palit Group operations and the consolidation of Galax operations at its Taiwan headquarters.

Industry Context

The rumors were considered plausible by some due to broader reports suggesting Nvidia might be prioritizing more expensive AI data center and professional GPUs over consumer RTX 5090 production. However, Palit's denial confirms that Galax GPU production will continue, preventing another major consumer GPU brand from exiting the market.