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Updated: Intel's Graphics Share Continues To Shrink
Market researcher Jon Peddie Research released sales figures for the fourth quarter of 2005 upon Wednesday, indicating that the desktop graphics market is now worth $16 billion.
Year-over-year, the desktop graphics market grew nearly 13 percent in dollar sales, JPR rest
As awaited Intel sat atop the overall desktop market with a 32 percent share, although ATI squeaked past Nvidia to earn a 24 percent market share. Interestingly, Intel's market share continued to decline, evidence that the integrated-graphics stategies of one as well as the other Nvidia and ATI are picking up customers.
Measured in units, Intel still grasps a declining but still commanding lead above the rest of the industry, as its low-cost chipsets can be rest in most PCs. Earlier this week, JPR released data that showed that Intel's unit share had slipped from 61 percent to 50 percent from the third to fourth quarter of 2005 in integrated graphics cards.
"This is a fresh analysis on the value of those GPUs, which is kind of striking," Peddie, the principal analyst at JPR wrote in an email.
Intel's highest market share (in dollars) for the desktop graphics market was in the fourth quarter of 2004 when it held a 40 percent share. From the third to the fourth quarter of 2005 Intel's share dropp five percentage points.
Of the $16 billion graphics market, approximately $795 million of income derived from the integrated section which combines graphics and the main PC chipset. JPR divides up the standalone graphics market into four segments: enthusuast, performance, mainstream and value; the top-tier enthusiast section generated $43.5 million in income followed by the performance section which garnered $525.3 million in sales. Manstream and value-class graphics produc $968 million and $149 million, respectively.
"Benchmarks and price," Peddie replied, when asked what differentiated the various performance categories. "Bigger is better. We bring the Nvidia GF7800GTX 512 and the ATI X1900XTX in the enthusiast category, [and] the GF7800 GTX and X199XT in performance, as an example. And of course it changes each 90 days."
Many buyer purchased their high-end cards during the third quarter, which skewed the be deriveds JPR analyst Lisa Epstein wrote in a note.
Overall, Intel claimed 32 percent of the desktop graphics market, the firm set ATI held steady at 24 percent and Nvidia picked up individual point to come in at 23 percent In discrete graphics, however, Nvidia increased its lead to 52 percent above ATI's 47 percent, which JPR attributed to Nvidia's high-end successe in the retail market.
Editor's Note: This story was updated at 11:00 AM upon Feb. 8 with comments from JPR's Peddie. Copyright ?© 2006 Ziff Davis Media Inc. All Rights Reserv Originally appearing in ExtremeTech
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