Wow! Thank you all so much for your input. I figured that many of you would have seen this in 80's and early 90's music CD's but I'm actually relieved to hear at least a few here have had it happen with CD-based games as well. I've seem close-ups of discs with that pinhole effect and many customers have told me about their CD's suddenly stop working but I have never had a disc "go bad" like this for me.

As for EPROMs, I do consider that a form of bit rot but as stated above, it's true that EPROM manufacturers never guaranteed they'd last longer than 10 years and yes, simply re-writing over them will refresh the data within.

And I'd completely forgotten about laserdiscs. Not sure if I'll be able to squeeze that into a 20-second bit rot blurb but thanks for the reminder!