PC graphics shipments rose 2.5 percent last quarter, Jon Peddie Associates said in a report released Monday. However, the number of GPUs for data centers has grown by an average of 145 percent. This is the state of the market now, which analyst John Peddie generously called “chaos.”
Peddie's report states that the PC GPU market grew to 76.6 million units in the third quarter of 2025. Over the next five years, discrete GPU penetration in the PC market will grow to approximately 25 percent of all PCs, the report says.
Peddie's report focused on the GPU market segment, which included both discrete GPUs and those integrated into SoCs that also integrate CPUs. The desktop segment recorded a compound growth rate of 10.7 percent, while the notebook segment recorded a compound growth rate of 1.4 percent. Overall, GPU shipments were up 2.5 percent and 4.0 percent sequentially from a year earlier.
Peddie's report disclosed only certain figures, some of which were reserved for clients or for future reports. Some of them were simply obscured by other factors. A good example is the overall share of GPUs: in the third quarter of 2025, the overall share of Intel PC GPUs was 61 percent, which is almost equal to every processor with integrated graphics shipped by Intel. Likewise, AMD's share was 15 percent (down 2 percentage points from a year ago), but its total consisted of both integrated and discrete graphics. Nvidia's share accounted for the remaining 24 percent.
Ironically, 2025 began with the launch of the Nvidia GeForce 5000 family, and subsequently concerns about available supply and how this will impact pricing. But by the end of 2025, GPU prices had fallen to levels close to MSRP. PC manufacturers began to panic about the supply of other componentsespecially DRAM and SSD. Manufacturers have clearly prioritized AI “hyperscaler” companies and supplied those companies with more profitable semiconductor processors, such as enterprise GPUs, rather than refocusing their efforts on consumer GPUs.
However, GPU shipments were below the PC GPU market's 10-year average growth rate of 4.7 percent, according to Peddie. Shipments of GPUs for data centers have skyrocketed.
“The PC and GPU market is neither stable nor predictable,” said Dr. Jon Peddie, president of Jon Peddie Research, in a statement. “Rising memory prices, uncertainty over tariffs, confusion over what an AI computer is, and conflicting messages about Windows 10 have disrupted planning and seasonality. Some might call it chaos.”
