The world of Graphic card looks grim as GPU sales soared during 2023.
As surprising as it may seem to the most gamers among us, it is indeed Intel which dominates – head and shoulders – the GPU market. A market which has regained color throughout 2023.
An explosion in GPU sales…
Remember, the COVID-19 pandemic and periods of confinement are making companies – mainly in wealthier countries – discover the benefits of teleworking.
A small revolution which has exploded IT needs with stratospheric sales for the main players in this market. GPUs are among the most demanded components, but this period could not last and the end of 2021 will have been the occasion for a painful landing to say the least with a year 2022 hardly more encouraging.
Specializing in monitoring these sales, the company Jon Peddie Research, however, finally has some good news with a rather successful year 2023 and a clearly upward trend over the last few months.
…but a drop on graphics cards alone
More precisely, Jon Peddie Research notes growth in GPU sales of around 24% in the fourth quarter of 2023 compared to the same period last year. In absolute values, we are talking about the sale of 76.2 million units in this quarter.
This progression over one year is the most remarkable measured over the last 25 years. It reflects the renewed dynamism of a sector. Things should settle down over the next three years, but Jon Peddie Research still envisages annual growth of 3.6% until 2026. This would then mean an installed base of nearly 5 billion units.
It should be noted, however, that this growth does not affect everyone equally. It is Intel which benefits the most from this situation with growth of 10.5% over this last quarter when NVIDIA is down 1.5% and AMD is down 2.9%. Intel represents 67% of GPUs distributed in the fourth quarter of 2023 when NVIDIA is at 18% and AMD at 15%.
How can Intel pull this cover when its graphics cards are not the most visible? Quite simply, because GPUs also include iGPUs, which dominate the laptop market and the latter is boosting the sector. Indeed, demand for graphics cards is down 1% year-on-year, while the mobile GPU market is up 32%.
In a context of widespread inflation, would graphics cards be perceived as too expensive? Dispensable?
Source : Jon Peddie Research
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