Intel Entrance To Graphics Card Market Has Failed
Arthur T Knackerbracket has processed the following story:
The data compiled by Jon Peddie Research (JPR) reveals a significant surge in global AIB [add-in board] volumes, up 47.9 percent year-on-year to 9.5 million units and up 9.4 percent quarter-over-quarter from 8.7 million.
Yet since Intel introduced its first dedicated AIB - or graphics card - via the Arc Alchemist microarchitecture in March 2022, the company has seemingly failed to capture meaningful market share from either Nvidia or AMD, at least according to JPR.
[...] When Intel first teased its Arc GPUs, there was a lot of buzz. Could Chipzilla translate its experience in processors to AIBs and perform as well in the dedicated graphics market as it has elsewhere?
On launch, the company talked a big game about disrupting the duopoly of Nvidia and AMD. Intel promised its products would be affordable and competitive, with options for gamers, creators, and enterprise users. Just over two years in, the reality hasn't lived up to the hype. Intel has suffered some technical setbacks, including driver instability and immaturity, which is a given for a new player in the market. The other stumbling block is performance related, although Intel has consistently released new driver updates looking to address this.
From here, Intel's movement into the AIB market seems to have been a dud, particularly considering the company's poor financial position and rivals expressing interest in acquiring assets. If Intel can't even dent a full percentile of AMD's market share, it seemingly doesn't stand a chance.
Unless Intel can recapture some of that earlier buzz with the upcoming Battlemage AIBs between now and the end of 2025, its goal of being a major player in dedicated graphics appears more likely to be a pipe dream.
Intel needs to focus on its pedigree in microprocessors rather than trying to enter a market locked down by Nvidia because the issues around its 14th and 13th gen Core series families haven't done its reputation any favors. Nvidia's dominance in the broader graphics market looks unlikely to change as we enter the age of AI, nor will its chokehold on the AIB industry, at least not any time soon.
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