Jon Peddie Research reports the growth of the global PC-based graphics processor units (GPU) market reached 54.8 million units in Q1’23 and PC CPUs shipments decreased by -39% year over year. Overall, GPUs will have a compound annual growth rate of -4.42% during 2022–2026 and reach an installed base of 2,913 million units at the end of the forecast period. Over the next five years, the penetration of discrete GPUs (dGPU) in the PC will grow to reach a level of 34%.
Year-to-year total GPU shipments, which include all platforms and all types of GPUs, decreased by -43%, desktop graphics decreased by -40%, and notebooks decreased by -45%.
AMD’s overall market share percentage from last quarter increased 0.9%, Intel’s market share decreased by -2.9%, and Nvidia’s market share increased 1.96%, as indicated in the following chart.
Overall GPU unit shipments decreased by -14.0% from last quarter. AMD’s shipments decreased by -7.8%, Intel’s shipments decreased by -17.5%,and Nvidia’s shipments decreased by -4.1%.
- The GPU’s overall attach rate (which includes integrated and discrete GPUs, desktops, notebook, and workstations) to PCs for the quarter was 120%, up 2.2% from last quarter.
- The overall PC CPU market decreased by -15.6% quarter to quarter and decreased -38.8% year to year.
- Desktop graphics add-in boards (AIBs that use discrete GPUs) decreased by -12.6% from the last quarter.
- This quarter saw 0.0% change in tablet shipments from last quarter.
The first quarter is typically flat to down, compared to the previous quarter. This quarter was down -14.0% from last quarter, which is below the 10-year average of 6.1%.
GPUs have been a leading indicator of the market because a GPU goes into a system before the suppliers ship the PC. Most of the semiconductor vendors are guiding up for the next quarter, an average of 17.06%. Last quarter, they guided down by an average of -6.44%, which was too high.
Jon Peddie, president of JPR, noted, “All the suppliers report they believe they’ve worked their way through that excess inventory and that normal seasonality will return in the second half or by the end of the year at the latest. Therefore, we have a cautious slight upturn forecasted for Q3 and Q4, and a continuation of low sales in Q2, which is traditionally a down quarter. Of the three suppliers, Nvidia has done the best job of reducing its inventory.
Of course, the data center and AI training systems are the bright spot, and leader-of-pack Nvidia in that area has guided a whopping 53% upturn for Q2, defying the tradition and beating its competitors -0.93% (AMD) and -1.8% (Intel). Even though AMD and Intel were not as bullish as Nvidia, their guidance was not as bad as many hedge fund managers expected.
“So, it is with cautious optimism we approach the second half and gritted stoicism as we await the results of Q2. The rough ride isn’t quite over yet,” Peddie said.
The above information and more can be found in the new Q1’23 edition of Market Watch. We have changed the format of the report from a heavily narrated version to a heavily charted version for easier consumption. Also, we have added server and client CPU shipment data back to Q1’21 and GPU-compute (GPGPU) shipment data back to Q1’21 for AMD, Intel, and Nvidia. We have expanded the pivot data array to include those devices.
JPR also publishes a series of reports on the graphics add-in board market and PC gaming hardware market, the latter of which covers the total market, including systems and accessories, and looks at 31 countries.
Pricing and availability
JPR’s Market Watch is available in electronic and hard-copy editions, and a single issue sells for $3,000. This report includes an Excel workbook with the data used to create the charts, the charts themselves, and supplemental information. The annual subscription price for JPR’s Market Watch is $6,000 and includes four quarterly issues. Full subscribers to JPR services receive TechWatch (the company’s exclusive access to daily news).
Click here to view the executive summary, table of contents, and more about this significant report or to download it now. For more information, call (415) 435-9368 or visit the Jon Peddie Research website at www.jonpeddie.com. Contact Robert Dow at JPR ([email protected]) for a free sample of TechWatch.
About Jon Peddie Research
Jon Peddie Research has been active in the graphics and multimedia fields for more than 30 years. JPR is a technically oriented multimedia and graphics research and consulting firm. Based in Tiburon, California, JPR provides consulting, research, and other specialized services to technology companies in various fields, including graphics development, multimedia for professional applications and consumer electronics, high-end computing, and Internet-access product development. JPR’s Market Watch is a quarterly report focused on PC graphics controllers’ market activity for notebook and desktop computing.
Jon Peddie, Jon Peddie Research
Robert Dow, Jon Peddie Research
Carol Warren, CREW Communications