The GPU market saw positive growth in the last quarter, reaching 76.9 million shipments in Q4 2024.
While Desktop GPU Shipments Saw a Decline, Overall GPU Shipments Saw a Decent Growth, Thanks to Data Center GPUs
The latest data on GPU and CPU shipments has been published by Jon Peddie Research. The data reveals the current GPU and CPU markets, the growth rate, total shipments, and vendor shares. As per the report, overall GPU shipments increased by 4.4% in the fourth quarter of 2024 compared to Q3 2024.
The growth rate looks decent compared to the first half of 2024, but when it comes to the desktop market, the total GPU shipments have decreased by around -5.4% year-on-year. The 4.4% increase in shipments is a result of positive growth in the data center department. Notebook graphics shipments have also increased by 1% year-on-year, which has slightly impacted the GPU market.
Year-on-year GPU shipments overall declined by -0.9% and this is due to various factors, including tariffs against several countries. That said, the data center GPU market has flourished by around 13.8% quarter-over-quarter. If we consider the last 10-year stats, the total GPU market share declined from an average of 5.4% to 4.4% quarter-over-quarter when we compare the Q4 to Q3 shipments.
The global political turmoil being created by threatened tariffs against various countries exporting to the US is unsettling the markets, including the stock markets, and causing consumers to either rush to buy to avoid rising prices or not to buy at all,
- JPR
NVIDIA has also lost a good chunk of its market size and now stands at 15% of total GPU shipments in the PC graphics sphere. This is a 3.3% decrease in share and other major players such as Intel and AMD have improved slightly by 1.9% and 1.3% respectively. Still, NVIDIA remains the largest player in the overall GPU market, including both the client and Data Center markets, but has struggled to meet the demand.
Nvidia, with the largest market share, had difficulty meeting demand and, as a result of their size and influence, kept the GPU market from growing as much as it might have. Although that will lead them and AMD into Q1 with a strong backlog, the tariffs will offset further gains for most, if not all, of 2025. As exciting as the AI PC is, it will not be sufficient to motivate consumers to spend ahead.
- JPR
It's forecasted that the GPUs will have a compound annual growth rate of 1.4% from 2024 to 2028 and will reach an installed base of 3,008 million units at the end of the period.
Coming to the CPU market, the Notebook CPU market share saw a 1% decline in its share and moved from 70% to 69%. The desktop CPU market now sits at a 31% share and the combined CPU shipments for the client market were around 71.7 million units in the fourth quarter of 2024. Unlike the GPU market, the PC CPU market saw a 4.6% year-over-year and 7.8% quarter-over-quarter increase.
