Last week's earnings release from NVIDIA provided ample evidence the company is doing extremely well so it's no surprise to see a report from Jon Peddie Research (JPR) raving about how NVIDIA increased its GPU shipments by a massive 39.3 percent versus the previous quarter. All parties enjoyed an increase in shipments as the total market saw a 20.4 percent increase from last quarter. Intel saw shipments increase 18 percent but AMD increased just 15 percent.
This report take a look at the total computer graphics market, so it also includes integrated graphics. For the discrete graphics report we'll have to wait a bit longer. JPR writes the result is NVIDIA saw its marketshare increase from 13.9 percent in Q2 2016 to 16.1 percent in Q3 2016, while AMD fell from 13.5 percent to 13.0 percent in the same timeframe.
JPR also notes that AMD's discrete desktop video card shipments increased 34.7 percent from last quarter, while laptop video card sales rose 23.0 percent. In case of NVIDIA, desktop GPU sales soared 39.8 percent and laptop video cards 38.7 percent.
Here's the JPR press release with extra details:
Nvidia’s market share increased 2.2% from last quarter and 0.4% from last year, Intel lost 1.6% market share from last quarter, and AMD’s overall share decreased 0.6%, from last quarter
This is the latest report from Jon Peddie Research on the GPUs used in PCs. It is reporting on Q3'16 results.
The PC market rose in Q3 from the previous quarter, but declined from the same quarter last year. The quarter to quarter gain was largely due to gaming as well as data center sales. PC suppliers are seeing growth in gaming desktops and notebooks, and hope this will offset the slowdown in overall PC shipments. while they are high ASP systems, the two segments combined can only contribute a few million unit shipments a year, less than the decline of the total PC market.
Overall GPU shipments (rounded up) increased 20% from last quarter, AMD increased 15% Nvidia increased 39% and Intel, increased 18%.
If anyone doubted that the PC was the platform of choice for gaming, this quarter’s results will correct that misconception. The gaming market is lifting the entire PC market and has overwhelmed the console market.
Nvidia did particularly well in Q3’16, fueled by their Pascal-based product line and the rash of new AAA graphics-demanding titles.
The third quarter is typically the strongest from the previous quarter in the seasonal cycles of the past. For Q3'16 we saw an increase of 20.4% from last quarter, and the gain was above the ten-year average of 9.52%.
The three market leaders, AMD, Intel, and Nvidia all introduced new products in the first half of the year while the channel and OEMs sold off older inventory. Q3 saw the channel and OEMs restocking for the holiday season, and doing so with enthusiasm indicating a bullish attitude.
AMD’s overall unit shipments increased 15.38% quarter-to-quarter, Intel’s total shipments increased 17.70% from last quarter, and Nvidia’s increased 39.31%.
The attach rate of GPUs (includes integrated and discrete GPUs) to PCs for the quarter was 146% which was up 14.96% from last quarter.
Discrete GPUs were in 34.84% of PCs, which is up 7.06%.
The overall PC market increased 8.09% quarter-to-quarter, and decreased -5.37% year-to-year.
Desktop graphics add-in boards (AIBs) that use discrete GPUs increased 38.16% from last quarter.
Q3'16 saw a decrease in tablet shipments from last quarter and saw notebook sales out sell tablets for the first time in three years.
The third quarter is, on average, usually up from the previous quarter as the channel and OEMs stock up for the holiday season. Judging by the big overall increase, those resellers are anticipating a strong demand in the 4th quarter.
GPUs are traditionally a leading indicator of the market, since a GPU goes into every system before it is shipped, and most of the PC vendors are guiding cautiously for Q4’16.
One thing to note, the Gaming PC segment, where higher-end GPUs are used, continues to deliver growth for PC makers. New gaming content and the promise of Virtual Reality help drive the demand for gaming desktops and notebooks.
This research finds that global GPU market demand in Q3'16 increased from last quarter, and increased from last year, to 100.30 million units. In recent years, as the gaming ecosystem is shaping up, software and hardware developers, information service providers, and even governments have been attempting to unearth market opportunities coming from this new arena. However, global PC shipment volume is forecast to fall further
The quarter in general
AMD’s shipments of desktop heterogeneous GPU/CPUs, (i.e., APUs), for desktops decreased
-10% from the previous quarter. AMD's shipments were up 19.1% in notebooks. Desktop discrete GPUs increased 34.7% from last quarter, and notebook discrete shipments increased 23.0%. AMD’s total PC graphics shipments increased 15.4% from the previous quarter.
Intel’s desktop processor embedded graphics (EPGs) shipments increased from last quarter by 4.1% and notebook processors increased by 18.8%, and total PC graphics shipments increased 17.7% from last quarter.
Nvidia’s desktop discrete GPU shipments were up 39.8% from last quarter; and the company’s notebook discrete GPU shipments increased 38.7%, and total PC graphics shipments increased 39.3% from last quarter. It was one of, if not the best quarter in Nvidia’s history, which the company attributes to the strong acceptance and demand for its new Pascal line of graphics chips and boards. The company’s share price is at an all-time high.
Total discrete GPUs (desktop and notebook) shipments for the industry increased 35.6% from the last quarter, and increased 10.1% from last year. Sales of discrete GPUs fluctuate due to a variety of factors (timing, memory pricing, etc.), new product introductions, and the influence of integrated graphics. Overall, the CAGR from 2014 to 2017 is now -5%.
Ninety nine percent of Intel’s non-server processors have graphics, and over 66% of AMD’s non-server processors contain integrated graphics; AMD still ships integrated graphics chipsets (IGPs).