Nvidia Dominates GPU Market with 94% Share, AMD and Intel Lag Behind

2 min read     Updated on 05 Sept 2025, 06:46 PM
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Reviewed by
Shriram ShekharScanX News Team
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Overview

Nvidia has increased its GPU market share to 94%, a 2% rise, according to Jon Peddie Research. AMD's share halved to 6%, while Intel remains at about 0.01%. Factors contributing to Nvidia's dominance include Intel's slow transition into AI and CPU graphics markets, AMD's limited and higher-priced offerings, and Nvidia's successful expansion into AI applications. The GPU market saw price fluctuations, with high-end GPU prices increasing. The GPU attach rate for desktop PCs rose to 154%, indicating increased adoption of dedicated graphics cards.

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*this image is generated using AI for illustrative purposes only.

Nvidia has further solidified its position as the undisputed leader in the graphics processing unit (GPU) market, according to the latest report from Jon Peddie Research. The tech giant's market share surged by 2 percentage points to reach an impressive 94%, leaving competitors AMD and Intel struggling to keep pace.

Market Share Breakdown

The report reveals a significant shift in the GPU landscape:

Company Market Share Change
Nvidia 94% +2%
AMD 6% -6%
Intel ~0.01% 0%

AMD experienced a substantial decline, with its market share halving from 12% to just 6%. Intel's presence in the GPU market remained negligible, maintaining a share close to zero.

Factors Contributing to Nvidia's Dominance

Several factors have contributed to Nvidia's overwhelming market control:

  1. Intel's Slow Transition: The report cites Intel's sluggish move into the AI and CPU graphics markets as a key factor in Nvidia's continued success.

  2. AMD's Limited Offerings: AMD's GPU lineup is described as limited, with higher mid-range pricing compared to Nvidia's offerings, potentially pushing consumers towards Nvidia products.

  3. Nvidia's AI Expansion: The company has successfully expanded its reach into AI applications beyond gaming, capitalizing on the growing demand for AI-capable hardware.

GPU Market Trends

The report also highlighted several interesting trends in the GPU market:

  • Price Fluctuations: While mid-range and entry-level GPU prices saw a decline, high-end GPU prices increased. This pricing strategy may have helped Nvidia maintain its market dominance.

  • Supply Constraints: Retail suppliers reported running out of stock, indicating strong demand for GPUs.

  • Increased GPU Adoption: The GPU attach rate for desktop PCs rose to 154%, a 2.3% increase from the previous quarter. This suggests that more PCs are being equipped with dedicated graphics cards, likely driven by demand for better performance in gaming and professional applications.

CPU Market Performance

While the focus is on GPUs, the report also touched on the CPU market:

  • The PC CPU market experienced a 21.6% quarterly increase.
  • However, there was a 4.4% year-over-year decrease in the CPU market.

This data suggests that while there has been a recent uptick in CPU sales, the market is still recovering from a broader downturn compared to the previous year.

Nvidia's commanding 94% market share demonstrates its continued innovation and strong position in the GPU industry. As AI and high-performance computing demands grow, it remains to be seen how competitors AMD and Intel will respond to challenge Nvidia's near-monopoly in the coming quarters.

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NVIDIA Inks $1.3 Billion AI Chip Rental Deal, Pledges $25 Million for AI Education

1 min read     Updated on 05 Sept 2025, 01:31 AM
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Reviewed by
Shraddha JoshiScanX News Team
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Overview

NVIDIA has entered a $1.3 billion agreement with Lambda to rent out 10,000 AI chips over four years. Additionally, the company has committed $25 million to AI education, partnering with Study Fetch and CK-12 to enhance AI learning resources and skill development.

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*this image is generated using AI for illustrative purposes only.

NVIDIA, a leading technology company known for its graphics processing units (GPUs) and AI technologies, has made significant moves in both the AI hardware and education sectors.

$1.3 Billion AI Chip Rental Agreement

NVIDIA has entered into a substantial agreement with Lambda, a cloud infrastructure provider, to rent out 10,000 AI chips over a four-year period. The deal, valued at $1.30 billion, underscores the growing demand for AI computing resources and NVIDIA's position as a key player in the AI hardware market.

This arrangement allows Lambda to expand its AI computing capabilities without the need for a large upfront investment in hardware. For NVIDIA, it represents a significant revenue stream and further cements its role in powering AI infrastructure across the industry.

Commitment to AI Education

In addition to the hardware rental agreement, NVIDIA has announced a $25.00 million commitment to AI education. This initiative aims to promote learning and skill development in the rapidly evolving field of artificial intelligence.

The company has formed partnerships with two educational platforms:

  1. Study Fetch: A digital learning platform that could potentially use NVIDIA's commitment to enhance its AI-related course offerings or develop new educational content.

  2. CK-12: An educational non-profit organization that provides free and customizable learning resources. NVIDIA's partnership with CK-12 could lead to the development of AI-focused curricula or tools for students and educators.

These partnerships highlight NVIDIA's investment in fostering AI literacy and skills, which are becoming increasingly important in today's technology-driven world.

Implications for the AI Ecosystem

NVIDIA's dual approach of providing hardware resources and supporting education reflects the company's comprehensive strategy in the AI sector. By facilitating access to powerful AI chips and simultaneously investing in education, NVIDIA is positioning itself to drive both the supply and demand sides of the AI market.

The $1.30 billion rental deal with Lambda indicates a trend towards more flexible AI infrastructure solutions, potentially making advanced AI capabilities more accessible to a wider range of businesses and researchers. Meanwhile, the educational initiative could help address the growing need for AI-skilled professionals in various industries.

As AI continues to transform multiple sectors, NVIDIA's latest moves demonstrate its commitment to remaining at the forefront of this technological revolution, both as a hardware provider and as a catalyst for AI education and innovation.

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