According to Jon Peddie of Jon Peddie Research and his quarterly GPU marketshare reports that in the second quarter of this year ending June 30th, the entire add-in board market has actually shrunken by 5.4% when compared to the previous quarter and 5.2% when compared to the same quarter a year ago. This is actually less than the shrinkage seen by the entire PC market, indicating that GPU shipments are not declining with the speed of PC shipments.
The entire AIB market is specifically discrete GPUs made by AMD and Nvidia. Discrete cards that are counted range from $100 gaming cards all the way up to $4,000 compute cards. Every single discrete GPU sold counts towards market share and sales. Now, if you look at Nvidia’s last quarter, you can see that the company’s profit line survived purely on the back of GPU sales. If you take this into account, it is clear that the GPU market is not necessarily suffering.
Now, when you look at their competition, AMD, you can see that the company is clearly making improvements in terms of sales and market share when compared against their competitor, Nvidia. AMD was able to steal market share away from Nvidia to the tune of 2.3%. Considering that AMD now has a market share of 38% when compared to Nvidia’s 62% it is still quite clear that AMD has some room to grow. However, this is is still lower than their 40% market share that they had the same quarter a year ago.
Overall, total AIB shipmetns were down 14.0 million units and if you take into account the year over year percentage decline of 5.2% it is still less than the 10 year average decline of 8.9%. AMD’s quarter to quarter total AIB shipments increased 0.8% and Nvidia’s quarter to quarter shipments decreased by the 10 year average 8.9%.
What this means is that AMD’s marketing efforts to push their GPUs with things like their Never Settle Bundles of games with their GPUs is helping. It still remains to be seen whether or not AMD can sell more of their high-end GPUs and increase their ASPs. Because even though Nvidia’s shipments were down, their ASPs were up which helped compensate for the loss of shipments. I believe that with AMD’s new GPU launch coming next month and Nvidia not having a new GPU architecture until next year, AMD will likely reclaim more GPU marketshare and improve ASPs.