diff --git a/codeGeneration/src/prog8/codegen/target/cpu6502/codegen/AsmGen.kt b/codeGeneration/src/prog8/codegen/target/cpu6502/codegen/AsmGen.kt
index a1deb9d9d..d82e3a42a 100644
--- a/codeGeneration/src/prog8/codegen/target/cpu6502/codegen/AsmGen.kt
+++ b/codeGeneration/src/prog8/codegen/target/cpu6502/codegen/AsmGen.kt
@@ -341,8 +341,9 @@ class AsmGen(private val program: Program,
                 }
             }
             DataType.STR -> {
-                val str = decl.value as StringLiteralValue
-                outputStringvar(decl, compTarget.encodeString(str.value, str.altEncoding).plus(0.toUByte()))
+                throw AssemblyError("all string vars should have been interned")
+//                val str = decl.value as StringLiteralValue
+//                outputStringvar(decl, compTarget.encodeString(str.value, str.altEncoding).plus(0.toUByte()))
             }
             DataType.ARRAY_UB -> {
                 val data = makeArrayFillDataUnsigned(decl)
@@ -435,7 +436,7 @@ class AsmGen(private val program: Program,
         val vars = statements.filterIsInstance<VarDecl>().filter { it.type==VarDeclType.VAR }
 
         val encodedstringVars = vars
-                .filter {it.datatype == DataType.STR }
+                .filter { it.datatype == DataType.STR && shouldActuallyOutputStringVar(it) }
                 .map {
                     val str = it.value as StringLiteralValue
                     it to compTarget.encodeString(str.value, str.altEncoding).plus(0.toUByte())
@@ -456,6 +457,17 @@ class AsmGen(private val program: Program,
         }
     }
 
+    private fun shouldActuallyOutputStringVar(strvar: VarDecl): Boolean {
+        if(strvar.sharedWithAsm)
+            return true
+        val uses = callGraph.usages(strvar)
+        val onlyInMemoryFuncs = uses.all {
+            val builtinfunc = (it.parent as? IFunctionCall)?.target?.targetStatement(program) as? BuiltinFunctionPlaceholder
+            builtinfunc?.name=="memory"
+        }
+        return !onlyInMemoryFuncs
+    }
+
     private fun outputStringvar(strdecl: VarDecl, bytes: List<UByte>) {
         val sv = strdecl.value as StringLiteralValue
         val altEncoding = if(sv.altEncoding) "@" else ""
diff --git a/compiler/test/codegeneration/TestVariables.kt b/compiler/test/codegeneration/TestVariables.kt
index 953600c54..0ca0c5767 100644
--- a/compiler/test/codegeneration/TestVariables.kt
+++ b/compiler/test/codegeneration/TestVariables.kt
@@ -15,13 +15,13 @@ class TestVariables: FunSpec({
         val text = """
             main {
                 sub start() {
-                    ubyte[] @shared array = [1,2,3,4]
-                    str @shared name = "test"
+                    ubyte[] @shared arrayvar = [1,2,3,4]
+                    str @shared stringvar = "test"
                     ubyte @shared bytevar = 0
             
                     %asm {{
-                        lda  array
-                        lda  name
+                        lda  arrayvar
+                        lda  stringvar
                         lda  bytevar
                     }}
                 }
diff --git a/compilerInterfaces/src/prog8/compilerinterface/CallGraph.kt b/compilerInterfaces/src/prog8/compilerinterface/CallGraph.kt
index 0659a7201..05adfe6b4 100644
--- a/compilerInterfaces/src/prog8/compilerinterface/CallGraph.kt
+++ b/compilerInterfaces/src/prog8/compilerinterface/CallGraph.kt
@@ -189,7 +189,7 @@ class CallGraph(private val program: Program) : IAstVisitor {
     }
 
     fun usages(decl: VarDecl): List<IdentifierReference> {
-        if(decl.type!=VarDeclType.VAR || decl.autogeneratedDontRemove || decl.sharedWithAsm)
+        if(decl.type!=VarDeclType.VAR)
             return emptyList()
 
         if(decl.definingBlock !in usedBlocks)
diff --git a/docs/source/todo.rst b/docs/source/todo.rst
index a0033a6b0..9a57c17c7 100644
--- a/docs/source/todo.rst
+++ b/docs/source/todo.rst
@@ -3,7 +3,6 @@ TODO
 
 For next compiler release (7.6)
 ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
-- fix that memory("name", ...)  allocates a STR variable with contents "name" in the assembly source
 - make it possible to inline non-asmsub routines that just contain a single statement (return, functioncall, assignment)
 ...
 
diff --git a/examples/test.p8 b/examples/test.p8
index 6b31e6c1b..9d9290b2c 100644
--- a/examples/test.p8
+++ b/examples/test.p8
@@ -8,6 +8,10 @@ main {
     sub start() {
         txt.print_uwhex(buffer, true)
         txt.print_uwhex(buffer2, true)
+        txt.print_uwhex("zzzz", true)
+        str xyz = "irmen"
+        xyz="2342344234"
+        txt.print_uwhex(xyz, true)
     }
 
 }