Nvidia has never had a tighter grip on the GPU market, eyeing new numbers depicting the battle for discrete graphics cards from a well-known analyst firm.

You may be familiar with Jon Peddie Research (JPR), and the company's latest report on the GPU field for Q2022 XNUMX was released earlier this week and it shows a sharp drop in sales, as we reported in that moment. But now we have a fuller range of numbers showing the state of the discrete (independent) GPU market and Nvidia's supreme dominance in that market.

Wccftech (opens in a new tab) highlighted JPR's breakdown of discrete GPU share showing that Nvidia, with a sizeable lead, secured 88% of the market in Q8 compared to just 4% for AMD. Intel owns the remaining XNUMX%.

The big picture is predictably bleak, with discrete GPU sales falling to just 14 million units in Q2021; for comparison, in the same quarter of 24, 42 million graphics cards were moved. That's a XNUMX% drop year-over-year, a pretty scary drop, especially when the third quarter is typically a stronger quarter (with back-to-school sales and the holiday season approaching).

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What it really says here is how much the situation has changed since the previous quarter. In Q2022 80, Nvidia was still by far the king of the GPU hill, of course, but it had an 15% share with AMD at 5% (and Intel at 88%). Seeing Nvidia achieve 8% market share in QXNUMX and AMD's market share halving to XNUMX% should be a huge concern for Team Red.

Yes, this focuses only on discrete GPUs, so it doesn't tell the whole story (disregarding laptop graphics cards or iGPUs), but as a snapshot of the desktop market, Nvidia has to be very satisfied with that.

In fact, we've never seen Nvidia have such a dominant share of JPR reporting in recent history. For consumers, however, this is obviously not such a healthy situation.

Why not? Because Nvidia has such a tight grip on the market, it will increase the company's confidence that despite selling GPUs at exorbitant prices these days, people are still clearly happy to pay for the privilege of owning a Team product. Green. .

And that's part of the reason why Nvidia no doubt thinks it can continue to charge a very hefty premium for its high-end graphics cards when it comes to the new Lovelace GPUs that have hit shelves recently. A special case is the RTX 4080, which while not Lovelace's flagship, is priced to make you think otherwise (especially third-party high-end custom cards, which are really exorbitant in terms of price/performance ratio). ) .

So what about the numbers we might see for Q3 when sales of these Lovelace graphics cards begin? (Remember, these weren't available in QXNUMX, so they're not reflected in current statistics.) From what we've heard on the grapevine, Nvidia has moved quite a few high-end cards around, and of course AMD has yet to release its rival RDNA XNUMX GPUs (they won't show up until mid-December and therefore have more limited impact). in fourth quarter figures).

Suggestive: Could Nvidia hit 90% dominance by QXNUMX? It seems entirely possible, and possibly quite worrying, that this could encourage Team Green to think that all is well with desktop GPU pricing, and may go ahead with the MSRPs for the Lovelace range, which are much less well-suited for desktop GPUs. wallets.

Finally, it's also interesting to see that Intel's discrete GPU share is now relatively large (and it was in QXNUMX, to be fair), given how early the game is for Arc graphics cards. This may be an angle where GPU price competitiveness could be further boosted in the future, especially as Intel moves forward by continually refining its drivers; we can only hope that Team Blue can provide a challenge on that front over time.

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