Graphics Card Market Signals Opportunities for IT Displays

In the third quarter of 2023, the add-in board (AIB), or graphics card market witnessed a remarkable increase in unit shipments, according to a recent report by Jon Peddie Research (JPR). The report highlights a significant 37.4% QoQ growth in graphics add-in board shipments, surpassing the 10-year average of 15.4%. This growth represents an increase from 6.44 million units in the previous quarter to 8.9 million units, marking a 30.0% rise compared to the same period last year. This should all be good news for the IT display business which is making a shift to getting more traction for OLEDs this year and seeing a lot more investment from companies like Samsung, LG, and BOE.

Source: Jon Peddie Research

Since the beginning of 2000, the AIB market has seen over 2.27 billion units sold, amounting to approximately $474 billion in sales. The latest quarter saw notable shifts in market shares among desktop discrete GPU suppliers. Nvidia, a dominant player in the market, increased its share by 2% from the last quarter, continuing to maintain a strong position with an 81.5% market share. AMD also showed significant growth, with its market share increasing by 7% compared to the previous year. AMD’s quarter-to-quarter desktop AIB unit shipments rose by 36.3%, and a substantial 124.1% increase from the previous year.

Intel, which entered the AIB market in the third quarter of 2022 with its Arc A770 and A750 graphics cards, has yet to make a significant impact, as its market presence remained unchanged.

C. Robert Dow, an analyst at Jon Peddie Research, attributed the growth in the AIB market to two main factors: the return to regular seasonal trends in the industry and recent efforts to streamline the distribution channel. However, Dow also noted that sales might slow down in the upcoming weeks as early adopters and gamers may postpone purchases in anticipation of new graphics card lines expected to launch in early 2024.

JPR has been tracking AIB shipments quarterly since 1987, with the volume of graphics add-in boards reaching its peak in 1999 at 114 million units, when every desktop PC was shipped with a graphics card. The report marks the third quarter of 2023 as a significant period of growth for the AIB market, with 8.9 million units shipped.