ATI Commands Markets of High-End, Mainstream Graphics Cards - Research

Nvidia Continues to Lead the Desktop Graphics Market in Terms of Volume

by Anton Shilov
07/29/2010 | 11:47 AM

ATI, graphics business unit of Advanced Micro Devices, has not only managed to tangibly increase its market share on the market of discrete desktop graphics processing units (GPUs), but also to grab a substantial share of the lucrative market of graphics boards that cost over $300 per unit and that are aimed at enthusiasts of performance and the latest video-games.

 

According to recently released numbers by Mercury Research, in total, 15.5 million of standalone graphics cards for desktops were shipped in the second quarter of calendar 2010, which is a sharp (21%) decline from 19.61 million supplied in Q2 2010 and a major (12.6%) drop from 17.73 million sold in Q2 2009. On the other hand, sales of standalone GPUs for mobile computers set another record: 19.395 million of units were sold, up 6% sequentially and 105.2% year-over-year.

On the desktop market of standalone GPUs Nvidia continued to lead with 8.55 million of discrete graphics chips shipped during the second quarter and 55.2% market share. The company lost 10.9% of its unit market share year-over-year as its shipments decreased by 27% from Q2 2009, Mercury indicated.

ATI supplied 6.9 million of desktop processors in Q2 2010 and increased its market share by 11% over the same period last year. However, the actual growth of shipments on the market of desktop discrete GPUs was rather modest: 0.7% quarter-over-quarter and 16% year-over-year.

Considering that it is rather clear that the market of desktop graphics processors is on the decline, it becomes crucial for vendors to occupy its most lucrative parts. Thanks to the late roll-out of Nvidia GeForce GTX 400-series (in mid-April, 2010), its lackluster welcome by enthusiasts and/or shortages, ATI managed to grab 59.9% of the market of expensive graphics cards that cost over $300. Still, Nvidia's share in the $200 - $300 segment - why is surprisingly smaller than the market of more expensive offerings in terms of units - was 58.3%. The two companies shipped about the same number of mainstream $100 - $200 products with a slight lead of ATI, but Nvidia appeared to be the king of low-end (sub-$100) devices with 61.5% unit share in the second quarter of 2010.

Overview of Desktop Discrete GPU Market in Q2 2010

Data by Mercury Research

 

ATI

Nvidia

Segment

Units (in thousands)

Share

Share in Product Mix

Units (in thousands)

Share

Share in Product Mix

$0 - $100

3584

38.5%

51.9%

5714

61.5%

66.8% 

$100 - $200

2418

53.9%

35%

2067

46.1%

24.2%

$200 - $300

230

41.7%

3.3% 

321

58.3%

3.8%

$300+

 668

59.9%

9.7% 

447

40.1%

5.2%

Total

6900

 

8550