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Low cost and integrated GPUs gain the most in Q2

GPU sales are looked at as an indicator of how well the overall computer market is doing since all computers today ship with a GPU of some sort be it of the discrete or integrated variety. So far, 2009 has been a rough year for GPU makers.

Typically, GPU makers would be disappointed with no significant growth, but with the poor economy, it's a welcome change from the significant declines other quarters have seen. Jon Peddie Research (JPR) has unveiled its latest numbers for the add-in GPU industry for Q2 2009. The numbers show that 16.81 million add-in units were shipped, up 3% from the previous quarter and down 15% from the same quarter in 2008.

Inventories had to be replenished over Q2 and JPR estimates that the replenishment at least shadowed consumption or was a bit higher. With the poor economy still hurting many consumers, sales in the GPU market moved downstream. Most of the growth in the GPU market was in the integrated segment with a 4% year-over-year increase in shipments for the quarter. Lower cost discrete cards also saw modest improvements according to JPR with higher cost discrete cards taking the worst the quarter had to offer.

The quarter was the first where AMD finally started to gain back some share from NVIDIA. JPR reports that AMD's unit share rose from 31% in Q1 to 35% in Q2 with NVIDIA seeing their share decline the same 4% to 64% overall. That means that AMD took every bit of its growth from NVIDIA's marketshare. NVIDIA and Intel GPU shipments did rebound slightly in Q1 2009.

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Why buy nvidia
By frozentundra123456 on 8/26/2009 5:11:16 PM , Rating: 2
I am glad to see ATI gain market share. The only question is, how long can they go without making money. The competition is great for the consumer, but AMD/ATI has to start selling products at a price that makes money at some point.

RE: Why buy nvidia
By bobvodka on 8/26/2009 7:12:15 PM , Rating: 2
Do you have something to back up the assuption that AMD aren't making any money from their GPU arm?

Just because they are selling the gpus cheaper doesn't mean they are losing money, and with the state of the CPU side of things they really can't afford to either.

RE: Why buy nvidia
By just4U on 8/26/2009 11:22:45 PM , Rating: 3
Their Graphics devision is showing a profit. If anything It's Nvidia taking a beating right now as it costs more for them to produce their Gpu's and their getting hammered into lowering prices by aggressive pricing on ATi's part.

RE: Why buy nvidia
By afkrotch on 8/27/2009 2:54:25 AM , Rating: 2
Don't think he specifically means just their Graphics Division. If the Processor Division loses 10 billion a year, while the Graphics makes 5 billion, they are losing money. If something like that continues, the company will go under.

Now I'm just making numbers up. I don't know how AMD is doing in either CPUs or GPUs. I figured I'd just clarify.

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