GPU shipments plunged in Q4 2008

Not exactly a surprise but according to Jon Peddie Research Computer Graphics Chip Shipments took a plunge in Q4 of 2008. And indeed, when you look at the numbers .. they are just dreadful for ANY manufacturer. Total shipments of GPUs for Q4'08 was 72.35 million. During the same quarter last year, 100.5 million GPUs shipped, and in the previous quarter, Q3 '08, 111.26 million units shipped representing a 34% drop quarter to quarter and a -2% drop year over year.

This is the first time Q4 shipments have decreased compared to Q3 since  the year 2000.

Growth	8year Average	2001	2002	2003	2004	2005	2006	2007	2008
Q3-Q4	8.83%	9.46%	12.11%	11.05%	1.47%	16.19%	0.89%	10.62%	-34.98%

Table 1: Growth rates from Q3 to Q4 from 2001 to 2008

Everyone in the market suffered reduced shipments - some suffered more than others. In this quarter, Nvidia has taken back some market share from AMD's ATI division. For more detail see Table 2.

Vendor	This quarter	Market share	Last quarter	Market share	Growth Qtr-Qtr	A year ago	Market share	Growth Yr-Yr
AMD	14.00	19.3%	22.90	20.6%	-38.9%	18.36	18.3%	-23.8%
Intel	34.59	47.8%	54.95	49.4%	-37.1%	43.71	43.5%	-20.9%
Nvidia	22.20	30.7%	30.93	27.8%	-28.2%	33.78	33.6%	-34.3%
Matrox	0.06	0.1%	0.10	0.1%	-40.0%	0.11	0.1%	-45.5%
SiS	0.80	1.1%	1.35	1.2%	-40.7%	2.05	2.0%	-61.0%
VIA/S3	0.70	1.0%	1.02	0.9%	-31.5%	2.49	2.5%	-71.9%
Total	72.35	100.0%	111.26	100.0%	-35.0%	100.50	100.0%	-28.0

Table 2: Total Graphics Chip Market shares for Q3 '08

While the quarterly results for Q4 '08 are obviously unusual, it is perhaps slightly less surprising considering that Q3 was also a surprise in the other direction. Shipments for Q3 '08 were unusually high, even for the traditionally high third quarter. In talking to vendors in related industries we have seen the same scenario playing out - a robust third quarter and a much slower fourth quarter.