EDITOR’S NOTE: Excerpts from JPR Market Watch are available on request.
AMD increased market share in Q2 2016 despite overall GPU shipments declining 4%, from last quarter
AMD market share increased 0.4% from last quarter and 2.8% from last year, Intel increase market share 2.4 % from last quarter, and Nvidia overall share decreased 2.8%, from last quarter
Jon Peddie Research (JPR), the industry's research and consulting firm for graphics and multimedia, announced estimated GPU (Graphics Processing Units) shipments and suppliers' market share for Q2'16.
The PC market rose in Q2 from the previous quarter, but declined from the same quarter last year, largely due to data center and servers. Some PC suppliers are seeing growth in hope 2-in-1 systems and gaming desktops and notebooks, they hope this will offset the slow down the in PC shipments. While there are high ASP systems, however the two segments combined can only contribute around 10 million unit shipments a year, less than the decline of the total PC market.
Overall GPU shipments (rounded up) decreased -4% from last quarter, AMD decreased -1% Nvidia decreased -20% and Intel, decreased -1%
Year-to-year total GPU shipments decreased -10%, desktop graphics decreased -6%, notebooks decreased -12%.
Graphics processors, stand-alone discrete devices, and embedded processor-based GPUs are ubiquitous and essential components in all systems and devices today from handheld mobile devices, PCs, and workstations, to TVs, servers, vehicle systems, signage, game consoles, medical equipment, and wearables. New technologies and semiconductor manufacturing processes are taking advantage of the ability of GPU power to scale. The GPU drives the screen of every device we encounter-it is the human-machine interface.
The second quarter is typically down in the seasonality cycles of the past. For Q2'16 we saw it decrease -4.0% from last quarter, and was below the ten-year average of 2.44%.
- AMD's overall unit shipments decreased -1.41% quarter-to-quarter, Intel's total shipments decreased -0.74% from last quarter, and Nvidia's decreased -20.01%.
- The attach rate of GPUs (includes integrated and discrete GPUs) to PCs for the quarter was 132% which was down -7% from last quarter.
- Discrete GPUs were in 27.78% of PCs, which is down -4.94%.
- The overall PC market increased 1.06% quarter-to-quarter, and decreased -5.83% year-to-year.
- Desktop graphics add-in boards (AIBs) that use discrete GPUs decreased -20.81% from last quarter, reflecting seasonality and the clearing out of inventory from older models and Nvidia introduced several new boards in Q2.
- Q2'16 saw a decrease in tablet shipments from last 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 Q3'16. Once again, the Gaming PC segment, where higher-end GPUs are used, was a bright spot in the market in the quarter.
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.
The quarter in general
AMD's shipments of desktop heterogeneous GPU/CPUs, i.e., APUs, for desktops decreased -22.2% from the previous quarter. AMD's shipments were down -0.4% in notebooks. Desktop discrete GPUs increased 4.03% from last quarter, and notebook discrete shipments decreased -3.7%. AMD's total PC graphics shipments decreased -1.4% from the previous quarter.
Intel's desktop processor embedded graphics (EPGs) shipments decreased from last quarter by -4.5% and notebook processors increased by 1.4%, and total PC graphics shipments decreased -0.7% from last quarter.
Nvidia's desktop discrete GPU shipments were down -28.15% from last quarter; and the company's notebook discrete GPU shipments decreased -5.7%, and total PC graphics shipments decreased -20.0% from last quarter.
Total discrete GPUs (desktop and notebook) shipments decreased -14.19% from the last quarter, and decreased -1.03% 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 -8%.
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).
The report contains the following content:
- Worldwide GPU and PC Shipment Volume, 1994 to 2020.
- Detailed worldwide GPU Shipment Volume, 1Q 2001 to 2Q 2016, and forecast to 2020.
- Major suppliers: Detailed market share data-on the shipments of AMD,Intel, Nvidia, and others.
- Financial results for the leading suppliers: Analysis of the quarterly results of the leading GPU suppliers
- Market Forecasts: You will also be able to download a detailed spreadsheet and supporting charts that project the supplier's shipments over the period 2001 to 2018. Projections are split into platforms and GPU type.
- GPUs: History, Status, and Analysis.
- Financial History from for the last nine quarter: Based on historic SEC filings, you can see current and historical sales and profit results of the leading suppliers.
- A Vision of the future: Building upon a solid foundation of facts, data and sober analysis, this section pulls together all of the report's findings and paints a vivid picture of where the PC graphics market is headed.
- Charts, graphics, tables and more: Included with this report is an Excel workbook. It contains the data we used to create the charts in this report. The workbook has the charts and supplemental information.
This research finds that global GPU market demand in Q2'16 decreased from last quarter, and decreased from last year, to 83.32 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.
Pricing and Availability
The Jon Peddie Research's Market Watch is available now in both electronic and hard copy editions, and sells for $2,500. Included with this report is 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 $5,000 and includes four quarterly issues. Full subscribers to JPR services receive Tech Watch (the company's bi-weekly report) and a copy of Market Watch as part of their subscription.
Click here to learn more about this major report, or to download it now. Or, for more information call 415/435-9368 or visit the Jon Peddie Research website at http://jonpeddie.com/publications/market_watch/
Contact Robert Dow at JPR (Robert@jonpeddie.com) for a free sample of TechWatch.
About Jon Peddie Research
Dr. Jon Peddie has been active in the graphics and multimedia fields for more than 30 years. Jon Peddie Research 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 a variety of fields including graphics development, multimedia for professional applications and consumer electronics, high-end computing, and Internet-access product development. Jon Peddie'sMarket Watch is a quarterly report focused on the market activity of PC graphics controllers for notebook and desktop computing.
Jon Peddie, Jon Peddie Research
Robert Dow, Jon Peddie Research
Carol Warren, Crew Communications
Jon Peddie's Market Watch is a trademark of Jon Peddie Research. All other tradenames and trademarks referenced are the property of their respective owners.