NVIDIA has kicked off 2025 with a commanding 92% share in the AIB GPU market, leaving rivals trailing far behind. Recent data from Jon Peddie Research illustrates the state of the PC market for Q1 2025, revealing a notable shift in the competitive landscape.
The AIB market reached 9.2 million units in the first quarter, though desktop CPU shipments dipped to 17.8 million. Expectations from JPR suggest the AIB market may experience a compound annual growth rate of -10.3% from 2024 to 2028, eventually settling at an installed base of 130 million units. Interestingly, 86% of desktop PCs will likely be equipped with a graphics card or AIB during this period.
In an impressive maneuver, NVIDIA increased its market share by 8.5% to secure 92%, while AMD saw its share drop to 8%. Intel wasn’t able to maintain its footing, with its presence falling to 0%. NVIDIA’s success can be attributed to its RTX 50 series releases, dwarfing AMD’s later RDNA 4 lineup and Intel’s Battlemage B-series, which failed to make a significant impact.
The desktop CPU market experienced a year-to-year decrease of -14.5% and a quarter-to-quarter slip of -20.6%. This comes despite a historical 10-year average flat rate of 0.6% for Q1, highlighting an interesting uptick of 8.4% this year.
In the broader PC GPU market, which includes integrated solutions, there was a 12% drop compared to the previous quarter. The market reached 68.8 million units, while CPU units fell to 61.9 million. By 2028, PC GPUs are expected to expand to 2.8 billion units, although standalone GPUs will occupy just 15% of the market.
Segment analysis shows desktop graphics fell by 16%, and notebooks by 10%. Despite declines for AMD and Intel, NVIDIA increased its share by 3.6%. A significant point of growth was in data center GPUs, which surged by 9.6% due to the rising demand driven by AI technologies. CPUs were predominantly notebooks, holding a 71% share against desktops.
Looking at the gaming landscape, the Steam Hardware Survey from May 2025 offers key insights. NVIDIA’s GeForce RTX 3060 and 4060 remain favorites among gamers, with the newly introduced RTX 5060 Ti making a modest entry. It’s expected to take several quarters for the RTX 5060 series to climb higher in popularity.
On the CPU front, AMD now holds 40.31% of the gaming market on Steam, closing in on Intel’s 59.69%. This shift is partly due to AMD’s competitive Ryzen CPUs and Intel’s setbacks with the Arrow Lake-S series. In terms of core numbers, 6 and 8-core CPUs are currently the preferred choice, representing 30.67% and 24.01% of the market. Despite this, many entry-level gamers still opt for older, affordable options, keeping the four-core CPUs in the mix. Higher-core processors, ranging up to 24 cores, are also securing a notable share among users.
