Analyst: Nvidia GPU Market Share Now at 88%, AMD With 12%

Nvidia continues to cement its dominance of the discrete GPU market, according to a new GPU sales report for the first quarter of 2024 compiled by Jon Peddle Research (JPR). Overall, it was a bad quarter for graphics cards, which is typical since it follows the holiday period. Still, sales were way up from a year ago, indicating that the PC market is beginning to rebound from a sluggish two-year period.
Jon Peddle’s numbers show GPU shipments were down 7.9% from the previous quarter for Q1 but still up 39.2% year-over-year, marking a sizable turnaround for the market as a whole. The firm estimates that 8.7 million GPUs were shipped in Q1, compared with 9.5 million graphics cards in Q4 of 2023. This cyclical nature of boom and bust is a good thing, according to JPR, as it means the market is returning to a predictable seasonal nature instead of the way it behaved during the pandemic.
Regarding market share, a year ago, JPR’s numbers showed Nvidia with 84%, AMD with 12%, and Intel with the remaining 4%. By the fourth quarter of 2023, those numbers had shifted dramatically, with Intel dropping to just 1% and AMD gaining 7% at the expense of both Nvidia and Intel. That all changed in the most recent quarter, though: Intel dropped to 0% on the chart (ouch), AMD fell back to 12%, and Nvidia surged to 88%.
According to JPR, despite AMD losing market share for the quarter, the company had a great year overall with an increase of 39% YoY. At the same time, Nvidia did even better, improving its numbers by 45.6% from last year. Intel’s falling off the charts was likely a side effect of not releasing any new GPUs for all of 2023. It’s reportedly launching its second-generation Battlemage architecture this year, so it’ll be interesting to see if it can right the ship when those arrive.
Peddie predicts a strong Q2 driven mainly by demand for AI hardware, according to Tom’s Hardware. Microsoft revealed the first wave of PCs with built-in AI processors in May, and AI dominated headlines at this week’s Computex trade show. The biggest AI-related launches from the show were AMD’s new Zen 5 Ryzen 9000 desktop and mobile CPUs and Intel’s Lunar Lake mobile architecture. Nvidia also discussed its AI plans, revealing its next-generation architecture is code-named Rubin.
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