NVIDIA dominates declining GPU market with 77.5 percent as AMD falls further

In February we reported NVIDIA is slowly driving AMD out of the GPU market as the marketshare ratio between the two was 76 percent and 24 percent, respectively, in the final quarter of 2014. As you can see in a longer-term chart, historically NVIDIA usually had the largest marketshare but never by such a large margin.

Now Jon Peddie Research published its report about the first quarter of this year and AMD is still bleeding as it can't hold on to its marketshare. The latest figures shown NVIDIA captured a whopping 77.5 percent of the discrete graphics card market in Q1 2015 while AMD has slipped to a mere 22.5 percent.

The overall discrete GPU market isn't doing that well as integrated graphics reduce the need for a discrete graphics card. Jon Peddie notes the attach rate of discrete graphics cards has declined from a peak of 63 percent in Q1 2008 to 37 percent in Q1 2015. Shipments of discrete graphics cards came in at 11.3 million units in Q1 2015, down 8.79 percent quarter-over-quarter and down 19.41 percent year-over-year.

The news was encouraging and seasonally understandable, quarter-to-quarter, the AIB market decreased -8.79% (compared to the desktop PC market, which decreased -14.77%). On a year-to-year basis, we found that total AIB shipments during the quarter fell -19.41% , which is more than desktop PCs, which fell -6.52% .

However, in spite of the overall decline, somewhat due to tablets and embedded graphics, the PC gaming momentum continues to build and is the bright spot in the AIB market. The overall PC desktop market increased quarter-to-quarter including double-attach—the adding of a second (or third) AIB to a system with integrated processor graphics—and to a lesser extent, dual AIBs in performance desktop machines using either AMD’s Crossfire or Nvidia’s SLI technology.

The attach rate of AIBs to desktop PCs has declined from a high of 63% in Q1 2008 to 37% this quarter.
The quarter in general:

JPR found that AIB shipments during the quarter behaved according to past years with regard to seasonality, but the increase was less than the 10-year average. AIB shipments decreased -8.79% from the last quarter (the 10-year average is -3.5%).

Total AIB shipments decreased this quarter to 11.3 million units from last quarter.

AMD’s quarter-to-quarter total desktop AIB unit shipments decreased -14.6% .

Nvidia’s quarter-to-quarter unit shipments decreased -7.0% · Nvidia continues to hold a dominant market share position at 77.5% .

Figures for the other suppliers were flat to declining.

The change from year to year decreased -19.4% compared to last year.