Intel Leads in PC Graphics

Intel is predominantly a CPU maker and its integrated graphics solutions have so far not been able to come very close to matching the high-end performance of solutions from AMD and NVIDIA. However, even though NVIDIA and ATI are generally seen as the two big names in the graphics industry, it seems that, statistically, Intel is the dominant figure. Jon Peddie Research found that the Santa Clara chip maker's graphics market share was the equivalent of more than half of the total market during the fourth quarter of 2009.

Overall figures for 2009 surpassed general expectations, showing a year-to-year growth of 14%. While AMD gained in the notebook integrated segment, it lost some market share in both desktop and notebook discrete graphics because of the 40nm yield issues that impacted upon its inventories.

NVIDIA also saw an increase, but it came primarily in desktop discrete solutions, whereas its integrated desktop and notebook performance dwindled. In the end, it was Intel that rose at the top, thanks to its strong sales of Atom chips for netbooks and generally good marketing performance on the desktop segment.

NVIDIA's Fiscal Q3’10 (August to the end of November) revenues were reported to have reached $903 million. In parallel, AMD's reported revenue from its graphics segment was of $427 million, which represents a sequential increase of 40%. The company's operating income was reported at $53 million, which was substantially better compared to the previous quarter.

Overall, Intel's share reached 55.2%, compared to the third quarter's 53.6%. AMD and NVIDIA both lost ground, with the former holding 19.9% (down 0.2% sequentially) and the latter securing 24.3% (compared to the third quarter's 25.3%). VIA only holds 0.6% of the market.

Jon Peddie Research also predicts that the advent of CIG (CPU-integrated graphics) will lead to the rapid and significant decline of embedded graphics shipments.

In related news, AMD was shown by IDC to have slightly increased its CPU market share at Intel's expense.