Discrete GPU shipments increase 12.4% in Q2 2023, with gains across Nvidia, AMD, and Intel driven by AI demand.
Jon Pedrie Research's Q2 2023 market analysis reveals increased GPU shipments across all major manufacturers as the market normalizes. A total of 61.6 Million GPUs shipped in Q2 2023, with Intel securing the top overall market position at 68%, followed by NVIDIA at 18% and AMD at 14% of all GPUs (combining dGPUs and iGPUs). AMD's overall market share increased by 1.2% during the quarter, while Intel and NVIDIA declined by -0.4% and -0.8%, respectively. This divergence was primarily driven by shipment growth rates: AMD witnessed a 22.9% increase in GPU shipments, while Intel rose by 11.7% and NVIDIA by 7.5%.
In the discrete GPU market, NVIDIA dominates with 87% market share, followed by AMD at 10% and Intel at 3%. The dGPU market grew by 12%, exceeding the 10-year average of 8.1%. The PC integrated GPU segment tells a different story, with only two competitors: Intel holds 84% market share while AMD captures 16%, with this segment expanding by 13% to reach 49 Million units shipped.
Breaking down GPU distribution by platform, notebook GPUs represent 73% of total shipments while desktop GPUs account for 27%. For discrete GPUs on desktops, NVIDIA maintains 80% share with 6 million units shipped, followed by AMD at 17% and Intel at 2%. The notebook discrete segment saw similar volumes of 6 million units shipped, but with NVIDIA's dominance even more pronounced at 94%, while Intel and AMD each held 3%. For integrated graphics, Intel leads both desktop (88% share, 10 million units) and notebook (84% share) segments, with AMD holding 12% and 16% respectively.
The broader shipment breakdown by segment reveals the integrated segment led with 48.82 million units, followed by high-end GPUs at 6.84 million units, mid-range at 2.59 million, entry-level at 1.81 million, and workstation GPUs at 1.50 million. Client CPU shipments increased by 15% quarter-over-quarter, driving overall PC shipments up 10% to 53.55 million units, with the laptop segment leading this growth.
Server and compute-optimized GPU markets demonstrated significant momentum. Server GPU and CPU shipments increased 18% this quarter, reversing a declining trend that began in early 2022, with Intel commanding 84% of server CPU market share and AMD holding 16%. For compute-optimized GPUs primarily used in cloud and datacenters, NVIDIA controls the market with over 300K shipments during Q2 2023, while Intel and AMD shipped 10-20K units each. Looking ahead, JPR forecasts the GPU market will continue to see steady climbs in coming years, with the desktop segment shifting toward high-end and mid-range solutions as entry-level discrete GPU demand flattens due to rising integrated GPU performance.