Nvidia achieved an unprecedented success in the third quarter of this year (July-September). The company has a 90 percent share of the graphics card or GPU market. According to market research firm John Peddie Research, the current situation is very challenging for rivals AMD and Intel. Because Intel shares fell 10 percent during this time, and Intel's position hasn't changed much.
Graphics card unit shipments fell 7.9 percent year-over-year and 14.5 percent quarter-on-quarter. But even in this situation, Nvidia has strengthened its position.
Consumers are waiting for the next generation of graphics cards, such as Nvidia's RTX 50 series and AMD's RX 8000 series, experts say. The launch of these two GPU models is expected to revive the market in the coming year.
Meanwhile, the threat to AMD is growing. Because since the acquisition of the Canadian technology company ATI in 2006, the company has been falling behind in the graphics card market. If AMD doesn't make strategic changes quickly, it could face further crisis, experts warn. Nvidia, on the other hand, has far outpaced its competitors with its innovation and manufacturing capabilities. Especially by creating artificial intelligence or AI-based chips.
It's important for AMD and Intel to capitalize on the current times. Both companies need strategic direction for the graphics card market. If Nvidia continues to dominate the market, the company will dominate innovation and pricing.
Nvidia still holds the highest share in the GPU market. The company's shares rose 2 percent in the third quarter of 2024 over the previous quarter (April–June). As a result, Nvidia shares are now 8 percent higher than in the third quarter of 2023. As a result, shares of Intel and AMD have narrowed considerably.
Technology analysts believe that overall graphics card sales are likely to decline significantly in the coming years.
References: Yahoo Finance
