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If you're referring to plain ally nipples, absolutely fine is quite a stretch IMO, particularly on 24h and lower. I'd say brass, at least those common ones that fit a 14g spoke but fit the 15g slot in a cheap spoke wench, are only mostly fine. On low spoke count wheels, even with brass, you need a four-point wrench, and even then, on a 16h wheel, you might have to resort to pushing on the side of the rim to add tension without giving the nipple too much of a hard time, and that's with new lubed parts.
If you're talking about normal ally nipples at the same slim 14/15g size, they're just completely stupid on anything under 28h. Even on 32h, on an old wheel, you'd be silly not to use a fiddly tight four-point wrench. With brass, you can kinda get away with making the square into a slight parallelogram once, but do that on ally and it's game over for that nipple - you better hope it's where you want it at that point.
Those typical cheap ally nipples are completely undercooked in aluminium, just like HyperGlide splines and the old handlebar clamp diameter. It shouldn't require special techniques and a super tight wrench to avoid munting nipples. Which is why there are improved designs which all use more metal.
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Kimmo
@broken_777
Alloy nipples are absolutely fine to use as long you build them with the correct spoke prep to prevent galling, you use the correct spoke length and interference washers if using carbon rims.
If you are rounding off alloy nipples during build most likely you are not using adequate lubrication/spoke prep, right size spoke key and perhaps you are a little hamfisted.
The best option with alloy nipples is to use socket style nipples in the hex flavour , ideally the new model of Pillar nipples , which has a very beefy head.
It's not alloy nipples, it's how you use them.
Most factory built wheels won't be built with the above on mind .