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Graphics chip shipments up 31 percent

Dramatic improvment in components shifted

GPU (graphics processing unit) and IGP shipments between Q2 and Q1 are up nearly 25 million additional units. That puts second quarter shipments just shy of the 100 million mark at 98.7 million, or a 31.3 percent increase during a seasonal switch that normally sees changes no higher or lower than 5 percent.

Seasonal effects on graphics shipments usually lead to a decrease in orders between the first and second calendar quarters of the year. But new numbers just released from Jon Peddie Research (JPR) show a dramatic improvement from last year's big retail "hunkering down" in preparation for an economic recession.

AMD took the top spot for growth between Q2 and Q1, boosting its shipments from 12.81 million units in the first quarter to 18.3 million in the second. The 41.5-percent increase might have beat Intel's and nVidia's at 35.2 percent and 23.6 percent respectively, but Intel still won the day for the size of its additional shipments and new market share.

Intel gained nearly 13 million new shipments between the two quarters, boosting its overall second-quarter market share to 51.2 percent. nVidia's market share actually fell from 31.1 percent to 29.2 percent between the two quarters, no doubt slowed by Intel and AMD's larger gains.

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The company only increased its graphics shipments a bit over 5 million units between the two quarters - earning it a third place in quarter-to-quarter growth, but still allowing nVidia to hold onto a second-place position for overall market share.

JPR expects the graphics market to continue its shipment gains throughout Q3 and Q4, spurred by the launch of Microsoft's Windows 7 and Apple's Snow Leopard as well as the expected price war between new, 40mm-chipset ATI and nVidia cards.


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