Only one in ten desktop graphics cards still comes from AMD
AMD and Nvidia are selling fewer graphics cards, bucking the seasonal trend. AMD is being hit particularly hard.
(Image: c't)
Interest in graphics cards for desktop PCs appears to be unusually low. Only 8.1 million GeForce and Radeon models were sold from July to the end of September 2024 – 9 percent less than in the same period last year and 15 percent less than in the previous quarter. Market researcher Jon Peddie Research (JPR) arrived at this estimate.
The decline is unusual, as sales actually increase seasonally in the third quarter. JPR does not give any reasons. However, the upcoming launch of Nvidia's new generation GeForce RTX 5000 and AMD's Radeon RX 8000 could play a role. At least some interested parties are waiting until the new graphics cards are available before upgrading.
AMD continues to lose market share
Meanwhile, AMD has lost a large part of its market share: Within a single year, it fell from 17 percent to just 10 percent. This means that only around 810,000 Radeon GPUs for desktop PCs were sold in the third quarter. In contrast, 7.3 million GeForce graphics cards were sold.
In the same period, 20.1 million desktop PCs are said to have been sold. Most of these do not have a standalone graphics card – in many cases they are purely office computers.
This is reflected in AMD's business figures: the gaming division was only just in the black recently, with sales of 462 million US dollars – including chips for consoles such as the Playstation 5 (Pro) and Xbox Series X/S in addition to Radeon graphics cards.
Nvidia's annual reports are asynchronous to the calendar quarters. In the last two fiscal quarters, GeForce graphics cards brought in just under 3.3 billion and 2.9 billion US dollars respectively.
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US tariffs worsen the outlook
JPR expects worse figures in the coming months due to the planned US tariffs on foreign goods under US President Donald Trump. On the one hand, general costs in the US are set to rise, leaving less money for hobbies, and on the other, hardware could also become more expensive.
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