That looks more like spalling then chipping (failure of the surface heat treated metal). I would not use a cam with those conditions. Repair and regrind would most likely way exceed the cost of a good used replacement unit.
Considering the location of the damage, at the point of highest loading, it does appear to be spalled. Unfortunately, it will only continue to spread. Are the other spalled areas at the same point on the lobes?
Yes, they are all at the same point and also on the same edge of the lobe (which I find interesting that it occurs on one side but not the other, but have no idea what it might mean).
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