Jon Peddie Research Reports Nvidia led Q3 With 20% Quarter-to-Quarter Growth—AMD and Intel Dropped

  Jon Peddie Research Reports Nvidia led Q3 With 20% Quarter-to-Quarter
  Growth—AMD and Intel Dropped

Holding steady: 34.3 Million discrete GPUs shipped, 4.5% over last quarter but
declined 5.2% from last year. There was a 4.5% dip in overall graphics
shipments in Q3 from last quarter.

Business Wire

TIBURON, Calif. -- November 26, 2012

Jon Peddie Research (JPR), the industry's research and consulting firm for
graphics and multimedia, announced estimated graphics chip shipments and
suppliers’ market share for Q3’12.

The news was terrific for Nvidia and disappointing for everyone the other
major players. From Q2 to Q3 Intel slipped in both desktop (7%) and notebook
(8.6%). AMD dropped (2%) in the desktop, and (17%) in notebooks. Nvidia gained
28.3% in desktop from quarter to quarter and jumped almost 12% in the notebook
segment.

This was a not a very good quarter the shipments were down -1.45% on a Qtr-Qtr
basis, and -10.8% on a Yr-Yr basis. We found that graphics shipments during
Q3’12 slipped from last quarter -1.5% as compared to PCs which grew slightly
by 0.9% overall (however more GPU’s shipped than PCs due to double attach).
GPUs are traditionally a leading indicator of the market, since a GPU goes
into every system before it is shipped and most of the PC vendors are guiding
down for Q4.

The turmoil in the PC market has caused us to modify our forecast since the
last report; it is less aggressive on both desktops and notebooks. The
popularity of tablets and the persistent recession are the contributing
factors that have altered the nature of the PC market. Nonetheless, the CAGR
for PC graphics from 2011 to 2016 is 3.6%, and we expect the total shipments
of graphics chips in 2016 to be 608 million units.

The ten-year average change for this quarter is a growth of 7.9%. This quarter
is below the average with a 4.6% decrease.

Our findings include discrete and integrated graphics (CPU and chipset) for
Desktops, Notebooks (and Netbooks), and PC-based commercial (i.e., POS) and
industrial/scientific and embedded. This report does not include handhelds
(i.e., mobile phones), x86 Servers or ARM-based Tablets (i.e. iPad and
Android-based Tablets), Smartbooks, or ARM-based Servers. It does include
x86-based tablets.

The quarter in general

  *AMD’s quarter-to-quarter total shipments of desktop heterogeneous
    GPU/CPUs, i.e., APUs dropped 30% from Q2 and 4.7% in notebooks. The
    company’s overall PC graphics shipments slipped 10.7%.
  *Intel’s quarter-to-quarter desktop processor-graphics EPG shipments
    dropped from last quarter by 7%, and Notebooks fell by 8.6%. The company’s
    overall PC graphics shipments dropped 8%.
  *Nvidia’s quarter-to-quarter desktop discrete shipments jumped 28.3% from
    last quarter; and, the company’s mobile discrete shipments were up 12%,
    which is impressive in a down market. The company’s overall PC graphics
    shipments increased 19.6%.
  *Year to year this quarter AMD shipments declined 20%, Intel dropped 14%,
    Nvidia slipped 0.5%, and VIA fell 10% from last year.
  *Total discrete GPUs (desktop and notebook) increased a modest 4.6% from
    the last quarter and were down 5.2% from last year for the same quarter
    due to the same problems plaguing the overall PC industry. Overall the
    trend for discrete GPUs is up with a CAGR to 2016 of 2.6%.
  *Ninety nine percent of Intel’s non-server processors have graphics, and
    over 67% of AMD’s non-server processors contain integrated graphics; AMD
    still ships IGPs.

Year to year for the quarter the graphics market decreased. Shipments were
down 20 million units from this quarter last year.

Market shares shifted for the big three, and put pressure on the smaller two,
market share in shipments as indicated in Table 1 (units are in millions.)

AMD saw a change of -7.7% in total graphics market share from last year, and
-1.5% quarter to quarter.

Intel’s market share increased 0.9% from last year, and -2.4% from last
quarter.

Nvidia showed an increase in market share of almost 15% in overall market
share from last year rising to 19% from 16% last year.

         Shipment   Market    Last      Market                             M        Market
         (M         share     quarter   share    Unit         Share        Units    Share
       units)    this     (M       last    Change      Difference  a year  last
         This       quarter   units)    Qtr      Qtr-to-qtr   Qtr-to-qtr   ago      yr.
         quarter
AMD      25.43      21.2%     28.49     22.7%    -10.7%       -1.5%        31.82    23.0%
Intel    71.75      59.8%     77.97     62.2%    -8.0%        -2.4%        83.58    60.3%
Nvidia   22.25      18.5%     18.60     14.8%    19.6%        3.70%        22.36    16.1%
Matrox   0.04       0.03%     0.05      0.0%     -20.0%       0.0%         0.06     0.0%
VIA/S3   0.53       0.4%      0.59      0.5%     -10.0%       0.0%         0.65     0.5%
Total    120.00     100.0%    125.36    100.3%   -4.3%                    138.52   100.0%
Table 1: Total Graphics Chip Market shares


Graphics chips (GPUs) and chips with graphics (IGPs, APUs, and EPGs) are a
leading indicator for the PC market. At least one and often two GPUs are
present in every PC shipped. It can take the form of a discrete chip, a GPU
integrated in the chipset or embedded in the CPU. The average has grown from
1.2 GPUs per PC in 2001 to almost 1.4 GPUs per PC.

Pricing and Availability

The Q3’12 edition of Jon Peddie Research's Market Watch is available now in
both electronic and hard copy editions, and sells for $2,500. Included with
this report is an Excel workbook with the data used to create the charts, the
charts themselves, and supplemental information. The annual subscription price
for JPR's Market Watch is $4,000 and includes four quarterly issues. Full
subscribers to JPR services receive Tech Watch (the company's bi-weekly
report) and a copy of Market Watch as part of their subscription. For
information about purchasing Market Watch, please call 415/435-9368 or visit
the Jon Peddie Research website at www.jonpeddie.com.

Contact Robert Dow at JPR (Robert@jonpeddie.com) for a free sample of
TechWatch.

About Jon Peddie Research

Dr. Jon Peddie has been active in the graphics and multimedia fields for more
than 30 years. Jon Peddie Research is a technically oriented multimedia and
graphics research and consulting firm. Based in Tiburon, California, JPR
provides consulting, research, and other specialized services to technology
companies in a variety of fields including graphics development, multimedia
for professional applications and consumer electronics, high-end computing,
and Internet-access product development. Jon Peddie's Market Watch is a
quarterly report focused on the market activity of PC graphics controllers for
notebook and desktop computing.

View all JPR press releases http://www.jonpeddie.com/about/press/index.shtml

Contact:

Jon Peddie Research
Jon Peddie, 415-435-9368
jon@jonpeddie.com
Robert Dow, 415-435-9368
robert@jonpeddie.com
or
Pat Meier Associates
Pat Meier-Johnson, 415-389-1700
patmeier@patmeier.com
 
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