Replace: On March sixth, every week after this story initially ran, Jon Peddie Analysis issued an replace to its preliminary evaluation report that lessens the impression of its figures. The devoted GPU and industrial supercomputer GPU knowledge was mixed for Intel, giving the corporate an inflated 9 p.c market share as an alternative of a extra correct 6 p.c market share. Based on the up to date report, Intel is in third place, behind AMD with its unchanged 9 p.c devoted GPU market share. Our unique story follows.

For many years, the marketplace for desktop graphics playing cards has had two gamers: AMD (previously ATI) and Nvidia. Intel determined to enter these hotly-contested waters in 2022 with its Arc collection of GPUs together with related devoted choices for laptops. Based on a report on graphics card market share, Intel managed to seize 9 p.c of devoted desktop GPU gross sales by the top of the 2022 calendar yr—the identical quantity of the market that AMD had for a similar timeframe.

The figures come from Jon Peddie Analysis, which paints an in any other case dismal image for the present GPU market, following traits for PC gross sales generally. The identical report says that desktop graphics card gross sales in complete dropped by 24 p.c, the most important drop in over a decade. And 9 p.c market share isn’t precisely one thing you parade in entrance of the shareholders, particularly when Nvidia continues to dominate with a near-monopoly at 82 p.c.

However taken within the context of a brand new competitor in an entrenched market phase, even one with the huge sources of an organization like Intel, it’s a surprising accomplishment. Arc desktop chips have been maligned and delayed to the purpose the place some trade analysts puzzled if Intel was contemplating scrapping the whole multi-billion-dollar mission. And the corporate nonetheless isn’t able to compete on the GPU excessive finish, the place the largest slice of revenue is made. However coming into the area and grabbing a tie for the quantity two spot in lower than a calendar yr, by specializing in finances playing cards and particular efficiency targets, can solely be counted as a win.

For instance, the Arc A750—which only in the near past bought an official worth reduce from $290 to $250—is our choose for the most effective 1080p GPU for ray tracing. It’s not the type of blistering, benchmark-busting efficiency that will get you right into a YouTuber’s $10,000 fantasy PC construct, but it surely is the type of worth that sells a hell of loads of playing cards to individuals who wish to play PC video games on a finances.

On PCWorld’s The Full Nerd podcast, Intel’s Arc spokesman Tom Petersen advised us, “If you concentrate on it, we’re one of many few corporations on this planet that may enter a big market like discrete graphics…Nvidia will in all probability proceed to disregard us, however AMD can’t ignore us. And it’s going to develop into far more aggressive over time as we develop into extra established.” (25:20 within the video beneath.) It’s value noting that Petersen’s final job was as Nividia’s Director of Technical Advertising and marketing.

Arc’s rise within the finances area is, certainly, unimaginable to disregard. It stays to be seen if Intel can leverage that momentum right into a extra dominant area on the high-end facet of the GPU market and whether or not it has the desire to enter that combat.