Nvidia dominated the GPU market in 2025 with a 94% share

In the second half of 2025, the graphics card market experienced a dynamic growth, reshaping the hierarchy of manufacturers. Data published by Jon Peddie Research shows how drastically the power dynamics in the GPU sector have changed, especially in the context of global economic turbulence.

Second Half of 2025: GPU Supply Explosion

The second quarter of 2025 brought a surprising jump in the PC Graphics AIB market. Global shipments reached 11.6 million units, a 30% increase compared to the previous period. This momentum suggests that despite market uncertainty, demand for hardware upgrades remains strong. The AIB distribution rate for desktop computers rose to 154%, meaning that for every processor purchased, 1.54 graphics cards were sold — a sign of widespread system upgrades beyond new build sectors.

Nvidia vs. Competition: The Gap Widens

The GPU market hierarchy has shifted completely. Nvidia solidified its position at 94%, gaining 2 percentage points in one quarter. The competition was much weaker: AMD dropped to 6% market share, losing the same 2 points, while Intel maintained a marginal position at 0%.

These figures reflect not only current consumer preferences but also Nvidia’s long-term strategy. The Jon Peddie Research report particularly highlights the dominance of Blackwell RTX 5000 series chips — seven of the thirteen best-selling GPUs in August came from this product line.

Supplier Dynamics — AMD in Motion, Intel on the Defensive

However, the desktop processor market shows a different dynamic. AMD shipments increased by 27%, while Intel saw only a 2% growth. Despite this, AMD remains marginal in the GPU market, indicating its strength lies mainly in CPUs rather than dedicated graphics cards.

The overall processor market grew by 21.6% year-over-year, though it declined by 4.4% compared to the previous year. These conflicting trends suggest that growth is primarily driven by short-term factors — possibly fears of tariff increases and consumer anticipation of market changes.

Prices Under Pressure: Uneven Tariff Effects

Jon Peddie Research President Dr. Jon Peddie pointed out a paradoxical pricing situation. Mid- and lower-tier cards are traditionally becoming cheaper, while premium cards have increased in price. Even more surprising — most retailers did not stock mid- and high-end models, which is “very unusual for the second quarter.”

The reason? Import tariffs and attempts to preempt tariff changes. Dr. Peddie explained: “Confusion and uncertainty caused by tariffs have not disappeared, making planning for PC component suppliers difficult, if not impossible. The supply chain is being reconfigured weekly to balance tariff-related risks.”

Expert opinion suggests that price pressure will intensify. Consumers, equally confused as manufacturers, may withdraw from the market, potentially leading to a correction and increased volatility.

Consumers Accelerate Upgrades

Despite supply disruptions and rising prices, gamers are willing to spend. The distribution rate rising to 154% indicates that a significant portion of users are actively upgrading their systems. Uncertainty regarding tariffs is pressuring purchasing decisions — consumers are trying to buy before prices rise even further.

Steam data confirms Nvidia’s strong position in gaming — holding nearly 75% share among PC gamers. This position is closely tied to the availability and performance offered by the manufacturer.

Product Horizon: Blackwell, Super, and the Unknown Future

RTX 5000 cards are already on the market, but speculation suggests a faster-than-usual appearance of the Super variant. History hints at this possibility — the previous gap between RTX 4090 (October 2022) and RTX 4000 Super (January 2024) was 15 months, and rumors indicate a much shorter interval this time.

AMD is preparing its response — UDNA cards are expected to debut at the end of 2026 or early 2027. Intel, as the first among competitors, already released its latest GPU generation in December 2024, though it was met with modest market results.

Forecasts: Will the Market Shrink?

Jon Peddie Research forecasts a cumulative annual growth rate of -5.4% for AIBs from 2024 to 2028. The installed GPU base by the end of the forecast period will reach 163 million units. These numbers suggest that the current growth is merely a temporary episode before a long-term decline.

Several factors could contribute to this downturn. Gamers may lose interest in PC gaming, and emerging processors with powerful integrated graphics — such as AMD’s Strix Halo — could alter GPU market dynamics. The outlook is mixed: Nvidia will undoubtedly dominate the GPU market in the coming years, but the graphics card market itself is becoming an increasingly challenging industry-wide issue.