TIBURON, CA (June 6, 2024—According to a new research report from leading analyst firm Jon Peddie Research (JPR), unit shipments in the add-in board (AIB) market decreased in Q1’24 from last quarter, yet increased year over year. Nvidia increased its market share from Q1’24, with AMD increasing its market share year over year. Graphics card shipments decreased by -7.9% quarter to quarter and increased by 39.2% year over year.
In Q1’24, 8.7 million units shipped, down from 9.5 million units last quarter.
The market shares for the desktop discrete GPU suppliers shifted in the quarter, as Nvidia’s market share increased from last quarter by 8%, and AMD’s share decreased by -7%. Intel, which entered the AIB market in Q3’22 with the Arc A770 and A750, remained flat, as the company has yet to gain significant traction in the add-in board market. Nvidia continues to hold a dominant market share position at 88%.
Quick highlights
- JPR found that AIB shipments during the quarter decreased from the last quarter by -7.9%, which is above the 10-year average of -10.9% for the first quarter.
- Total AIB shipments increased by 39% this quarter from last year to 8.7 million units and were down from 9.5 million units last quarter.
- AMD’s quarter-to-quarter total desktop AIB unit shipments decreased -41% and increased 39% from last year.
- Nvidia’s quarter-to-quarter unit shipments increased 0.9% and increased 45.6% from last year. Nvidia continues to hold a dominant market share position at 88%.
- AIB shipments from year to year increased by 39% compared to last year.
Shown in the following chart are the quarter-to-quarter and year-to-year market share percentages for the vendors, and the total unit shipments.
The first quarter is typically flat to down compared to the previous quarter. This quarter, shipments were down by -7.9. This slip in shipments was predicted and shows that after a few turbulent years due to the pandemic, the graphics card market is seeing a return to seasonality.
“We and the industry have been hoping for a return to seasonality, which was the hallmark of the PC industry for so many decades. It got disrupted with the 2007–2008 recession and had barely recovered when the crypto craze hit, then along came Covid, followed by the Ukraine war, and it looked like stability was just a faint memory,” said Dr. Jon Peddie, president of Jon Peddie Research. “In 2023, we saw four quarters of welcomed growth, and when Q1’24 was down a bit, no one panicked, as it looked like a return to seasonality—Q1 always used to be flat to down. Therefore, one would expect Q2’24, a traditional quarter, to also be down. But, all the vendors are predicting a growth quarter, mostly driven by AI training systems in hyperscalers. Whereas AI trainers use a GPU, the demand for them can steal parts from the gaming segment. So, for Q2, we expect to see a flat to low gaming AIB result and another increase in AI trainer GPU shipments. The new normality is no normality.”
C. Robert Dow, analyst for Jon Peddie Research, added: “There were some positive signs for the AIB market in Q1, as the attach rate rose by 6% from Q4’23 and 10% year over year. Prices also remained steady over the quarter, which is good for consumers.”
Pricing and availability
Jon Peddie Research’s AIB report is now available and sells for $3,000. The annual subscription price for JPR’s AIB report is $6,000 and includes four quarterly issues and four hours of consulting. Subscribers to JPR’s TechWatch are eligible for a 10% discount. Bundled packages are also available. For information about purchasing the AIB report, please call (415) 435-9368 or visit the Jon Peddie Research website at http://www.jonpeddie.com/.
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.
Company contact:
Jon Peddie, Jon Peddie Research
(415) 435-9368
[email protected]
Robert Dow, Jon Peddie Research
(415) 407-0757
[email protected]
Media contact:
Carol Warren, Creor Group
(714) 890-4500
[email protected]
