Palit Denies Galax GPU Factory Closure: What Is Confirmed and What Is Not

A report this week said that Palit had closed the factory that makes Galax graphics cards because it could not get enough Nvidia chips. Palit has now answered with an official statement saying that this is not true. Here is what both Tom's Hardware and TechSpot report, and what nobody has confirmed.

What Palit said

According to the two outlets, Palit published a statement saying it is aware of recent reports and speculation about Galax's business and that the claims are inaccurate. The company says Galax continues to operate as usual, no manufacturing facilities have been shut down and Galax products are still available through its sales channels, both in its home market and abroad. Palit also said that Galax and Palit share the same factories, and that production and business operations are continuing as normal.

Where the rumor came from

Both outlets trace the rumor to an exclusive from a Spanish outlet, shared on social media on 28 October 2026. It claimed that industry sources confirmed Palit was closing the Galax factory because Nvidia could not provide enough RTX 5000 chips. The post said Galax would not disappear at once, but would fade as its stock ran out. Tom's Hardware says the sources turned out to be wrong, and TechSpot calls the claim a rumor that Palit has now denied.

Why people believed it

The rumor was easy to believe for a few reasons:

• Galax had only just launched the GeForce RTX 5080 HOF Extreme, which TechSpot describes as the first RTX 5080 with two 16-pin connectors.
• There have been reports that Nvidia is putting its GB202 chip, used in the RTX 5090, into more profitable professional cards. Nvidia has denied that the RTX 5090 is discontinued, according to TechSpot.
• It is the second time this year that Galax has been rumored to be closing. In April, Palit explained that it was restructuring and bringing Galax operations under its headquarters in Taiwan, and said it would keep making Galax, KFA2 and HOF cards.

What this means for buyers

Nothing changes today: Galax cards are still on sale. The wider problem is price. Both outlets link the high cost of graphics cards to the memory chip shortage driven by AI demand. TechSpot says the RTX 5090 is hard to find for less than 9,000 dollars, compared with a launch price of 2,000 dollars. A denial from Palit does not fix that.

What we do not know

Neither outlet reports how many Nvidia chips Palit actually receives, and Nvidia was not immediately available for comment on chip availability, according to Tom's Hardware. We also do not know which Spanish outlet's sources were wrong or why. We will update this article if Palit or Nvidia publishes more details.