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Graphics Card Sales Rise 21% Year on Year Despite Continued Drop in Desktop PC Sales
By Jon Sutton on December 4th, 2017 at 05:07pm - original article from game-debate

Nvidia’s discrete graphics card sales continue to be on the up and up according to data published by Jon Peddie Research, increasing Team Green’s overall share of the market to 72.8% in Q3 2017. Meanwhile, AMD saw its fortunes slip slightly after the launch of its Vega GPUs. Vega’s proven decent but not impressive when stacked up against the competition, no doubt contributing to AMD’s overall market share slipping slightly, falling 3% to 27.2%.

GPU Manufacturer Market Share Q3 2017 Market Share Q2 2017 Market Share Q3 2016
AMD 27.2% 30.3% 29.8%
Nvidia 72.8% 69.7% 70.2%

Despite a slight stumble from AMD, it’s maintaining a steady grip on the market since its huge dip when the Radeon RX 300 and Fury series of graphics cards arrived back in 2015. The 3% drop likely didn’t affect AMD’s bottom line, however, with add-in graphics board sales taking a massive leap. Quarter-to-quarter, sales of AMD Radeon and Nvidia GeForce graphics cards combined increased 29.1%, as well as a rise of 21.5% year-on-year. The AIB sales take into account all discrete GPUs used in desktop PCs, workstations, rendering, servers, cryptocurrency mining and other markets.

To that end, Nvidia has clawed back a little more ground from AMD, yet both are enjoying a huge boost in business as demand for dedicated graphics cards rises. JPR cites gaming as the chief reason for this, unsurprisingly, with PC gaming continuing to grow year in, year out.

AMD Nvidia GPU Sales Q3 2017

It's going to be fascinating to see how the power shift plays out when Intel rocks up to the market with its own dedicated graphics card. Having recently poached AMD Radeon's Raja Koduri, they're preparing for war. While Intel's got plentiful experience in CPUs though, Nvidia and AMD surely have a short-term advantage in fending off the threat of Intel.

Meanwhile, the classic desktop PC is continuing its decline, offset by the continued increase in graphics card sales. In short - fewer PCs are being bought but considerably more graphics cards are being sold. We’re seeing a gradual churn away from desktop PCs for traditional home computing needs, replaced by tablets, laptops and other smaller devices. The standard desktop PC is now increasingly becoming the domain of the gamer, along with its usual high-end workstation uses.

Desktop PC and Graphics Card Sales Q3 2017

Sales of desktop PCs have continued to decline since 2007, although we do see a seasonal bump of 8.9% quarter-on-quarter as additional stock is bought in anticipation of the holiday season. Total desktop sales for the quarter amount to around 22.5 million, while roughly 16 million graphics cards were sold. At some point, the decline in sales of desktop PCs is surely set to abate, although current trends indicate that more graphics cards could be sold than desktop PCs within the next couple of years.

Are you increasingly shifting away from desktop PCs for work and general use purposes towards laptops, tablets and mobile? When do you think the drop in desktop PC sales will settle down, and are we witnessing a shift towards desktop PCs as high-end gaming devices first and foremost? Let us know your thoughts!Nvidia