The latest GPU market report from Jon Peddie research has been released and shows that AMD gained a good chunk of the GPU market share during fourth quarter of 2017. At the same time, both NVIDIA and Intel witnessed decline in GPU market share.

AMD Gained Huge Chunk of GPU Market Share in Q4 2017, NVIDIA and Intel Fall Behind - Crypto Miners End Up Gobbling Over 3 Million Discrete Graphics Cards

According to the report from Jon Peddie, the overall GPU shipments decreased in Q4 2017 when compared to the previous quarter. The decrease was about -1.5% which follows normal seasonal shipments. Then again, year to year comparison shows that GPU shipments decreased -4.8%, the desktop graphics decreased -2% and notebook graphics decreased -7%. The report also states that 3 million discrete graphics cards were consumed by miners alone during 2017 which amounted to $776 million in sales.

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When breaking down the numbers, it looks like AMD won this quarter big time with a market share increase of 8.1%. At the same time, NVIDIA decreased -6% while Intel decreased -2%. The current market share looks like the following:

AMD @ 14.2% (versus 13.0% Last Quarter)

NVIDIA @ 18.4% (versus 19.3% Last Quarter)

Intel @ 67.4% (versus 67.8% Last Quarter)

AMD was the main benefactor of the total mining hardware sales of $776 million as reported in the article. When comparing the graphics chip market segments, almost the entire industry saw a downward trend in Q4 2017 which includes discrete graphics for desktop, notebook integrated and embedded for mobility systems. The discrete notebook market and desktop integrated and embedded platforms saw an increase in growth rate of 3.6% and 3.0% respectively.

Also one reason why Intel's share isn't affected as much as AMD or NVIDIA is that they sell their GPUs as iGPUs which is integrated within their mainstream desktop and notebook processors. This makes iGPUs unaffected by the crypto mining craze, so the Intel GPU sales remain normal.

Quick highlights

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AMD’s overall unit shipments increased 8.08% quarter-to-quarter, Intel’s total shipments decreased -1.98% from last quarter, and NVIDIA’s decreased -6.00%.

The attach rate of GPUs (includes integrated and discrete GPUs) to PCs for the quarter was 134% which was down -10.06% from last quarter.

Discrete GPUs were in 36.88% of PCs, which is down -2.67%.

The overall PC market increased 5.93% quarter-to-quarter, and decreased -0.15% year-to-year.

Desktop graphics add-in boards (AIBs) that use discrete GPUs decreased -4.62% from last quarter.

Q4'17 saw no change in tablet shipments from last quarter

“Gaming has been and will continue to be the primary driver for GPU sales, augmented by the demand from cryptocurrency miners.,” said Dr. Jon Peddie, President of Jon Peddie research. We expect demand to slacken from the miners as margins drop in response increasingly utilities costs and supply and demand forces that drive up AIB prices. Gamers can offset those costs by mining when not gaming, but prices will not drop in the near future.” via Jon Peddie Research

Jon Peddie also reports that prices of add-in-boards are not expected to drop in the near future which is something that NVIDIA has already acknowledged. The current situation is that mining enthusiasts are eating up entire supplies of discrete graphics cards and the production just can't keep up with the huge demand. These figures might have been even higher if there were zero constraints with GPU production, but right now, crypto mining has exceeded the gaming market in terms of GPU revenue.