AMD's GPU market share dropped to an all-time low in Q3 2022 - Nvidia Dominates
Nvidia now dominates the discrete GPU market
Published: 29th November 2022 | Source: 3DCENTER |
AMD's GPU market share drops to a new low ahead of their Radeon RX 7900 XTX launch
AMD's market share within the discrete GPU market has dropped to 10% in Q3 2022, representing a new low for the company. AMD acquired ATI back in 2006, and AMD has never seen its discrete GPU market share dip this low.
In Q3 2022, Nvidia claimed 86% market share, with Intel grabbing the remaining 4%. These results, which were compiled in the table below by 3DCENTER using data from Jon Peddie Research, paint a dark picture for AMD, who are eager to launch their new Radeon RX 7000 series of graphics cards next month.
In Q3, the discrete GPU market contracted significantly. Part of this comes from the anticipation of upcoming product launched from both AMD and Nvidia, and a lot of this contraction comes from the demise of GPU-based cryptocurrency mining, which inflated the GPU market between early 2020 and mid 2022.
AMD's GPU market share is currently at it lowest point since AMD's acquisition of ATI, and extending things back further, Radeon/ATI has not had market share this anytime in the past 20 years. With the launch of their Radeon RX 7000 series on the horizon, things are looking up for AMD, but AMD is undeniably in a bad position.
A lot of factors play into AMD's declined market share in Q3 2022, with the largest being the increased availability of products from Nvidia. Nvidia's graphics cards are no longer in high demand from cryptocurrency mining operations, and that increased availability combined with lower prices had made Nvidia's products a lot more attractive. On top of that, Nvidia has had free game bundles with sales of many of this graphics cards this summer, which has helped to increase sales.
Over the past few months, retail shelves have been filled with Nvidia products while Radeon products have been in much shorter supply. AMD were not oversupplying their graphics cards during the crypto mining boom (at least not to the same extent as Nvidia), and that means that AMD simply has fewer GPUs to sell. That said, AMD's RX 6000 series GPUs are still widely available.
AMD Radeon RX 7000 series will be critical for AMD
AMD are positioning their Radeon RX 7900 XTX and RX 7900 XT as great value alternatives to Nvidia's RTX 4080, offering gamers significantly lower pricing. If the same trend holds true for AMD's other RX 7000 products, AMD has the potential to gain a lot of market share, especially now that their FidelityFX Super Resolution 2.0 technology has gained traction with game developers.
AMD has everything to gain with the launch of their Radeon RX 7000 series, though it remains to be seen if AMD can find success with their newest generation of products. Does AMD have what it takes to grow their market share in 2023?