Jon Peddie Research’s latest numbers show Nvidia’s dominance has never been stronger. Here’s why AMD is losing ground—and what it means for gamers and the PC market.
The Big Picture: Nvidia’s Market Share Hits 94%
Nvidia has done it again. According to new data from Jon Peddie Research (JPR), the company now controls a staggering 94% of the discrete GPU market. Meanwhile, AMD—once Nvidia’s fiercest rival—continues to lose ground, with its market share shrinking by 2.1% compared to last quarter and a sharp 6% drop year-over-year.
Intel’s presence? Practically non-existent, despite releasing some promising hardware like the B580.
To put it in perspective: in Q2 2025, the global GPU market shipped 11.6 million discrete graphics cards,
while desktop CPU shipments reached 21.7 million units. That means demand for PC hardware is actually rising,
but AMD isn’t keeping pace.
Why AMD Is Falling Behind
On paper, AMD still makes excellent GPUs—its RX 9070 XT is a great card for 1080p and 1440p gaming. But numbers tell a different story. Here are the key reasons AMD is slipping:
- Smaller lineup: Nvidia’s GPU portfolio covers every niche, from budget-friendly models to ultra-high-end behemoths. AMD’s current RDNA 4 lineup has just four models, limiting its presence on store shelves.
- Availability & pricing issues: While the RX 9070 XT launched at an MSRP of $599, prices rarely match that. Retailers continue to list AMD cards above MSRP, which makes them tough to recommend against Nvidia’s aggressively marketed options.
- Brand momentum: Nvidia isn’t just selling hardware—it’s selling an ecosystem. Features like DLSS 3.5, ray tracing leadership, and AI-powered optimizations keep Nvidia top of mind for gamers and creators alike.
A Surprising Twist: Rising Demand Across the Board
While AMD stumbles, the overall PC hardware market is actually looking healthy. GPU attach rates (the ratio of GPUs to CPUs shipped) rose to 154%, suggesting that more buyers are pairing CPUs with discrete graphics than ever before. That’s rare for a Q2 cycle, where shipments usually slow down.
JPR’s president, Dr. Jon Peddie, attributes this to price shifts and tariffs. Midrange GPU prices dropped, high-end cards got more expensive, and many buyers rushed to purchase hardware before potential tariff-driven price hikes kicked in.
Why This Matters
Nvidia’s near-monopoly has consequences beyond bragging rights. With so little competition, pricing power leans heavily in Nvidia’s favor. Gamers may end up paying more, while innovation could stagnate if AMD doesn’t regain momentum.
That said, AMD isn’t down and out. The company is still strong in CPUs (think Ryzen), and its GPUs remain compelling for value-focused gamers. But unless AMD expands its lineup, stabilizes pricing, and strengthens its ecosystem, the gap could widen even further.
The Bottom Line
Nvidia’s 94% market share highlights just how lopsided the GPU battle has become. AMD still has the technology to compete, but execution—product variety, pricing, and ecosystem features—is where it’s falling short.
The bigger question: Is this the start of a permanent shift, or will AMD fight back with its next generation? If you’re a gamer, creator, or PC builder, it’s a story worth watching closely.
What do you think—can AMD close the gap, or has Nvidia locked in its dominance for the long haul? Share your thoughts in the comments.
