Yes, the rumors you've been hearing are true, there is indeed a new trader in the Netopia Net's Cyber Café and guess what, it gives chips in exchange for bug fragments!
No more must you be forced to carry these mostly worthless piece of broken or corrupted data, simply select how many you want to trade, and dump them in! Just like that, you'll get a shiny new battlechip! Give it a try, it's fun!