The GPU market is trying wholesome, seeing a 5.9% rise in GPU shipments within the fourth quarter of 2023 and a dramatic 20% enhance year-on-year. Based on Jon Peddie Analysis, this progress is attributed to a surge in pocket book CPU demand, which elevated by 24% year-on-year. That is the largest enhance in 25 years.

Based on the research, International GPU shipments reached 76.2 million items. The reported 20% enhance is basically on the again of that astonishing 24% progress in CPU shipments, significantly these utilized in notebooks. Pocket book GPU shipments rose by 32%, whereas desktop GPU shipments truly fell by 1% over the identical interval.

Why the large bounce in pocket book GPU shipments? That is a straightforward one to reply. Each AMD and Intel (and nearly each different tech firm) have been hyping AI capabilities and that is certain to drive a wave of upgrading. A piece of these AI notebooks will characteristic discrete GPUs. It is essential to remember that many of those shipments will take months to succeed in retailer cabinets. And when the inevitable promotion of the AI PC actually begins in earnest, customers will line as much as improve. I needz my AI.

AMD and Intel have each launched chips with devoted AI processing {hardware}, and that is a pattern that is solely going to extend. I would place a fairly protected wager that almost all of that enhance in CPU shipments is made up of Intel’s Core Extremely Meteor Lake household and to a lesser extent, AMD’s Ryzen 8000-series Hawk Level CPUs. They’re all about NPUs, or neural processing items.

There may be some purpose for warning in 2024 although. On the subject of AI, Dr Jon Peddie stated: “It’s coming, and early examples from Adobe, Microsoft, and the CAD suppliers are good examples. However it gained’t hit mainstream on a regular basis utilization in all probability till the top of the yr on the earliest. Due to this fact, we advise warning in a single’s optimism and enthusiasm.”

Getting again to the GPU facet of issues, and there wasn’t a lot change when it comes to market share. AMD and Nvidia misplaced 1.4% and 1.36% respectively. That loss was Intel’s acquire, recording a +2.8% enhance. Numbers like that aren’t far exterior a margin of error.

(Picture credit score: Jon Peddie Analysis)

Nonetheless, GPU shipments noticed greater variations. AMD and Nvidia shipments decreased by 2.8% and 1.5% respectively, whereas Intel’s shipments rose by 10.5%. That factors in the direction of loads of upcoming AI notebooks with Intel built-in graphics.

Add-in board makers had a rougher yr, with a 1% fall in year-on-year shipments, which was offset by a 6.8% rise in This fall of 2023. That is attention-grabbing! Maybe excessive quantity discrete playing cards just like the RTX 4060 and RX 7600 did not do sufficient to enchantment to upgraders. Six months price of slowly declining costs certainly made quite a lot of players make the leap and at last improve.

With AI being all the craze, and the software program that makes use of it coming on-line slowly, it does appear to be the PC market is about to proceed its bull run after the post-pandemic doldrums. It’s going to be an attention-grabbing yr forward.