While GPU demand remains high, graphics card sales drop by almost 20%

DMCA / Correction Notice
- Advertisement -


Although many desktop users around the world are still hunting for one of the best graphics cards, market analysis shows that there has been a big drop in GPU sales.

- Advertisement -

According to John Paddy Research, a firm specializing in tech industry analysis, reported an 18.2% decline in graphics card sales compared to the previous quarter. On the other hand, the comparison of last year’s sales still shows huge growth which tells about the current demand.

Nvidia GeForce RTX 30 Series
NVIDIA

Figures apply to PC-based graphics cards. More than 101 million GPUs have been shipped by the third quarter of 2021. They are a huge number, especially when taking into account the lack of a running graphics card. These sales mark a 12% year-over-year increase, continuing the upward trend affecting the majority of the PC market.

advertisement

While annual sales have increased, quarterly results have fallen sharply. Compared to the second quarter of 2021, GPU shipments declined by 18.2% in the third quarter of this year. This quarter used to be the strongest in terms of hardware sales, but due to various supply chain issues, shortages and of course the ongoing pandemic, all previous figures have been thrown out the window. Even accounting for the current situation in the world, the decline of 18.2% is massive and far exceeds the 10-year average of -5.2%.

The two-horse race between Nvidia and AMD in the GPU market continues. Intel is gearing up to join the fight with its upcoming Intel Ark Alchemist line, but until then, the manufacturer has almost no market share when it comes to discrete graphics cards. As such, all of these numbers apply almost exclusively to Nvidia and AMD.

- Advertisement -

John Peddie Research reports that last quarter, both AMD and Nvidia maintained the same market share they held in the second quarter: Nvidia accounts for 83% of GPU sales, and the rest belongs to AMD. However, year-over-year, Nvidia extended its lead by 3%, leaving AMD further behind.

Promotional image of an AMD Radeon RX 6000-series graphics card.

The above applies to discrete GPUs, but Intel plays a role in the overall GPU engage rate. Overall GPU attach rate includes both integrated and discrete units, installed in desktop GPUs, laptop models, and workstations. John Peddie Research reported that the attachment rate for the previous quarter was 125%, which is an increase of 7.6% compared to the second quarter of 2021. Despite the overall increase in sales, only Nvidia managed to increase its market share in this segment by 8. , AMD saw an 11.4% drop, but that’s still not too bad compared to Intel’s -25.6% drop.

The sharp drop in sales quarter-over-quarter isn’t as surprising as it might seem. The chip crunch isn’t getting better: Getting a graphics card at MSRP is a small miracle. As prices reach outrageous levels, many people choose not to buy a GPU or buy a used unit. Throw in that various supply chain issues and limited availability of graphics cards, and it all adds up to a poor quarter for sales.

Recent rumors suggest that AMD may be working on a new budget graphics card. Nvidia is preparing an RTX 4000-series GPU for next year, and Intel has its Arch Alchemist line in the works. Perhaps new releases will help improve GPU sales, but GPU shortages are likely to persist throughout 2022.




- Advertisement -

Stay on top - Get the daily news in your inbox

Recent Articles

Related Stories