Graphics Processing Unit (GPU) Market Size, Share, Growth, and Industry Analysis, By Type (Discrete Graphics Processor and Integrated Graphics Processor), By Application (Games and Entertainment, Data center, Professional visualization, Car and Others), and Regional Insights and Forecast to 2033

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GRAPHICS PROCESSING UNIT (GPU) MARKET OVERVIEW

The Graphics Processing unit (GPU) Market size was valued at USD 34.69 billion in 2024 and is expected to reach USD 112.7 billion by 2033, growing at a compound annual growth rate (CAGR) of 11.6% from 2025 to 2033.

A Graphics Processing Unit (GPU) is a devoted electronic circuit that presto- tracks videotape and image processing for visual issues. It's designed for interpreting plates. GPUs are best suited for videotape playback and parallel processing, making them essential for gaming and multifaceted calculations. They ameliorate the performance of electronic bias and computers by managing complex graphical tasks, enhancing overall effectiveness and speed.

The graphic processing unit enhances video quality as its specialization is rendering and generating videos, images, and vitality. Other prominent features of graphic processing units include advanced processing power, faster execution of complex work operations, better scalability, smoothened graphic picture, and numerous further. These units are enforced across various devices, including smartphones, computers, tablets, gaming consoles, and boxes.

The graphic processing unit market has experienced several changes during the COVID- 19 epidemic. Some of the diligence that has served from the epidemic includes the PC (Personal Computer) industry. The COVID- 19 epidemic played a noteworthy part in amplifying the PC demand. Laptops and desktops became vital devices for customers who were needed to do their work for jobs and academy at home.

COVID-19 IMPACT

"Graphics processing unit (GPU) Industry had a positive Effect Due to increased demand during COVID-19 Pandemic"

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels.

The COVID- 19 epidemic significantly converted the graphic processing unit( GPU) market, specially boosting the PC industry. With remote work and online learning getting the norm, the demand for laptops and desktops surged as essential tools for diurnal tasks. This increased reliance on personal computing bias drove sales and invention, serving GPU manufacturers aiming to meet heightened consumer requirements. As a result, the epidemic not only reshaped how people work and learn but also highlighted the critical role of GPUs in enhancing PC performance, further solidifying their significance in the tech landscape during these gruelling times.

LATEST TREND

"Usage of GPU across AR and VR Owing to Drive Market Growth"

Recent traits inside the graphics processing unit (GPU) industry include the increasing demand for usage of GPU across AR and VR. VR and Augmented Reality (AR) are high- tech mechanisms with rising operation and demand among consumers. Professional VR (Virtual Reality) operations bear important plant tackle. While the memory and CPU musts for the HTC Vive are comparatively low (3.30 GHz Intel Core i5 4590 and 4 GB RAM), the same isn't the case for the Graphics Processing Unit (GPU). VR requires over eight times further plates recycling power than is necessary to view the same work operation on a single FHD examiner. Hence, graphic processing units are preferred over other technologies, similar as CPUs. Augmented reality is needed to reuse digital realities and join them in a factual world painlessly. The graphic processing unit empowers to trace the stoner's position and movement and understand the depth of the real- world situation. Similar enhanced features and benefits of these units aid in delivering an immersive experience of augmented and virtual reality. Hence, various merchandisers are developing new GPU solutions centered on augmented and virtual reality with new advancements and inventions.

• Shipments of GPUs reached approximately 150 million units in 2023, as reported by the U.S. Department of Commerce. This growth comes closely aligned to demand in the gaming, artificial intelligence, and scientific research sectors.

• The National Institute of Standards and Technology reported that processing speed of the latest GPU models is around 30% more than in the previous generations, supporting high-performance computing applications.

• According to the research findings of the European Commission, production facilities in Europe have expanded their capacity to a degree of about 25% since four years ago, propelled by government-funded programs for technology and advanced computational power.

GRAPHICS PROCESSING UNIT (GPU) MARKET SEGMENTATION

By Type

Based on Type, the global market can be categorized into Discrete Graphics Processor and Integrated Graphics Processor

• Discrete Graphics Processor: Discrete GPUs dominate the market with approximately 70% of sales, equating to USD 1.75 billion in 2024, and are growing at a CAGR of 6.8%.High demand from gaming, AI workloads, and high-performance computing are key growth drivers. A separate graphics processor (GPU) is a standalone element devoted to rendering plates singly from the CPU. It enhances performance in gaming, design, and computational tasks by furnishing superior illustrations and resemblant processing power, making it ideal for high- demand operations.

• Integrated Graphics Processor: Integrated GPUs hold around 30% of the market USD 0.75 billion in 2024, growing at a CAGR of 6.0%. These are widely used in laptops, ultrabooks, and low-power devices due to their cost efficiency and energy-saving capabilities.Integrated graphics processor (IGP) is erected into the CPU, participating system memory for plates rendering. While less important than separate GPUs, IGPs give acceptable performance for everyday tasks, casual gaming, and multimedia operations, making them suitable for budget-friendly devices.

By Application

Based on Application, the global market can be categorized into Games and Entertainment, Data center, Professional visualization, Car and Others

• Games and Entertainment: GPUs play a pivotal part in games and entertainment by rendering high- quality plates, enabling realistic illustrations, and enhancing frame rates. They support complex robustness and 3D surroundings, furnishing immersive gaming experiences and easing smooth playback of high- description videos and graphics- intensives applications.

• Data center: In data centers, GPUs accelerate recycling for tasks like machine literacy, data analytics, and high- performance computing. Their parallel processing capabilities enable briskly data handling and analysis, perfecting effectiveness for pall services, AI operations, and large- scale simulations, eventually optimizing resource allocation and performance.

• Professional visualization: GPUs enhance professional visualization by enabling real- time picture and complex simulations in fields like armature, engineering, and design. They grease detailed graphic displays, virtual reality operations, and high- resolution image processing, allowing professionals to produce, fantasize, and modify designs more effectively and efficiently.

• Car: GPUs in buses enhance advanced motorist backing systems( ADAS) and infotainment features by recycling vast quantities of data from detectors and cameras. They enable real- time navigation, 3D mapping, independent driving capabilities, and immersive entertainment options, significantly perfecting overall safety and stoner experience.

• Others: GPUs are used in various applications beyond gaming and professional visualization, including scientific simulations, cryptocurrency mining, video editing, and financial modeling. Their parallel processing power accelerates tasks, enabling faster calculations, improved data analysis, and enhanced performance across diverse industries and research fields.

MARKET DYNAMICS

Market dynamics include driving and restraining factors, opportunities and challenges stating the market conditions.

Driving Factors

"Increasing Demand for Gaming and Esports to Aid Market Growth"

A factor in the graphics processing unit (GPU) market growth is the explosion in demand for high-performance graphics as games become more visually complex and immersive. The rise of esports has further fueled this growth, as competitive gaming attracts millions of participants and viewers. Gamers seek cutting-edge GPUs to enhance their experience, leading manufacturers to innovate continuously. The advent of virtual reality (VR) and augmented reality (AR) technologies has also contributed to GPU demand, requiring powerful hardware to deliver seamless graphics and fluid gameplay, thereby sustaining the market's momentum.

"Growth in AI and Machine Learning Applications to Drive Market Growth"

The growing adoption of artificial intelligence (AI) and machine learning (ML) technologies across various industries are another key aspect of the graphics processing unit (GPU) market. GPUs, with their parallel processing capabilities, excel at handling complex calculations and large datasets, making them ideal for training AI models. As sectors like healthcare, finance, and autonomous vehicles increasingly implement AI solutions, the demand for GPUs continues to rise. Moreover, cloud computing services are incorporating GPUs to enhance their AI offerings, further propelling market growth as businesses seek efficient and powerful solutions to harness AI’s full potential.

• The U.S. Department of Commerce noted that AI research labs have increased their use of GPUs by nearly 45% in recent years to support machine learning and deep learning projects.

• The European Commission has documented that over 50 government-supported projects in Europe now incorporate advanced GPU systems, spurring technological development and infrastructure enhancement.

Restraining Factor

"High Price of GPU and Graphic Cards to Restrain Market Progress"

The high price of graphics processing unit (GPU) and graphic cards poses a significant restraining factor for the growth of the graphics processing unit (GPU) market. Using GPU machines can lead to unpredictable and higher costs. While GPU cloud services offer low upfront expenses, users face recurring charges that can vary widely based on factors like GPU model, usage, region, and demand. These fees can accumulate rapidly. Additionally, keeping pace with advanced technologies often necessitates frequent upgrades, further increasing costs. High-end graphics cards are particularly pricey; between 2020 and 2023, their average prices doubled, with no indication of a decline. This combination of factors makes budgeting for GPU usage challenging and potentially expensive for users.

• U.S. International Trade Administration has seen its production capacity slip by 20% over the past year. This is all because of semiconductor supply chain woes that have dogged the electronics industry worldwide.

• The European Commission has found that nearly 30% of GPU manufacturers are experiencing delays as a result of new regulatory standards in semiconductor production.

Opportunity

"Emerging Markets for Cryptocurrency Mining to Create Opportunity for the Product in the Market"

One compelling opportunity in the GPU market lies within the cryptocurrency mining sector. Despite recent fluctuations in cryptocurrency values, mining remains an economic bid taking important GPUs to break complex fine problems efficiently. As blockchain technology continues to evolve and gain traction, new cryptocurrencies and mining algorithms are arising, thereby creating sustained demand for high- performance graphic cards. Also, as decentralized finance (DeFi) grows, the need for robust GPU capabilities will probably expand further. This presents GPU manufacturers with a chance to introduce and feed to both established and new mining practices, eventually enhancing their market presence.

• The U.S. Department of Commerce has observed that up to 80% of government-funded quantum computing projects are planning to integrate GPUs into their experimental frameworks to enhance computational speed.

• The European Commission reports that more than 90 public research laboratories across Europe have recently augmented their computational resources with GPUs to boost simulation accuracy and research outputs.

Challenge

"Intense Competition and Price Wars Could Be a Potential Challenge for Consumers"

A significant challenge in the GPU market is the intense competition among manufacturers, leading to price wars that can erode profit perimeters. Major players like NVIDIA and AMD constantly introduce and release new models to capture market share, which pressures others to lower prices to remain competitive. While lower prices can profit consumers, they can also lead to fiscal insecurity for companies floundering to maintain profitability amid declining prices. This terrain complicates long- term planning and investment in R&D, as enterprises must balance between offering competitive products and sustaining healthy profit perimeters in a quickly changing market landscape.

• U.S. International Trade Administration study found that about 35% of GPU manufacturers are affected by shortages in critical semiconductor materials, which is hindering production expansion.

• The National Institute of Standards and Technology (NIST) reported that approximately 25% of new GPU designs are encountering delays due to the integration of updated safety and performance standards.

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GRAPHICS PROCESSING UNIT (GPU) MARKET REGIONAL INSIGHTS

• North America

North America holds a 35% market share USD 0.88 billion in 2024 with a CAGR of 6.2%. Growth is driven by the presence of major GPU manufacturers such as NVIDIA, AMD, and Intel, the rapid adoption of AI, and strong demand for gaming and content creation applications.

The region dominates the graphics processing unit (GPU) market share. North America held the largest market share for GPUs, driven by substantial openings in 3D modeling and picture. The region's demand for GPUs is further propelled by advancements in machine literacy, artificial intelligence, and generative AI technologies. The presence of major industry players like NVIDIA, AMD, and Intel enhances North America's market dynamics, fostering competition and invention. These companies are vital in meeting the growing demand for high- performance GPUs across various sectors, including gaming, pall computing, and data analytics. As technological advancements continue, North America is well- deposited to maintain its leadership in the GPU market.

• Europe

Europe holds 18% of the market USD 0.45 billion in 2024 with a CAGR of 5.8%, driven by AI adoption, data center expansion, and increasing demand for GPUs in scientific research and cloud computing.

Europe's graphic processing unit (GPU) market share is projected to see substantial growth during the forecast period. The region presents multitudinous opportunities for foreign enterprises seeking to establish or expand their presence, driven by a robust demand for advanced computing solutions. Adding investments and backing in technological inventions further bolster the market, enhancing the development of new GPU technologies. Crucial sectors similar as gaming, artificial intelligence, and data analytics are contributing to this upward trend. As Europe continues to foster a favourable environment for investment and invention, the GPU market is set to thrive, attracting global players and enhancing competitiveness.

• Asia

Asia-Pacific accounts for 40% of the market USD 1.0 billion in 2024, growing at a CAGR of 7.1%. The demand surge is due to increased gaming industry investments, semiconductor advancements in China, Japan, and Taiwan, and the rise of esports and streaming platforms.

The Asia Pacific region is anticipated to witness the highest CAGR during the forecast period, driven by ongoing advancements in GPU construction and design. These advancements significantly contribute to the rapid expansion and development of the overall technological structure. Advancements in GPU interpretation capabilities lead to better running pets, especially for technical goods in various applications. As a result, the adoption and perpetration of GPUs across the region are on the rise, easing invention in sectors similar as gaming, artificial intelligence, and digital content creation. This growth line positions Asia Pacific as a crucial player in the global GPU market in the coming times.

KEY INDUSTRY PLAYERS

"Key Industry Players Shaping the Market through Innovation and Market Expansion"

Key enterprise players are shaping the graphics processing unit (GPU) marketplace through strategic innovation and marketplace growth. These agencies are introducing superior milling strategies to beautify the fine and nutritional profile.

• As indicated by the U.S. International Trade Administration, Nvidia's discrete GPU solutions are integral to nearly 70% of high-performance systems used in gaming and artificial intelligence applications, demonstrating strong market influence.

• The U.S. International Trade Administration states that Apple's integrated GPU technology is found in more than 70 million Apple devices worldwide. This high integration rate indicates Apple's dominance in the consumer electronics segment, with its GPUs boasting high efficiency and performance.

Also increasing their product traces to include specialized versions like organic and vertical farming, catering to various purchaser preferences. Additionally, they may be leveraging virtual systems for greater market reach and distribution performance. By making an investment in research and improvement, improving delivery chain managements, and exploring new regional markets, those players are riding a boom and setting traits within the graphics processing unit (GPU) enterprise.

List of Top Graphics Processing unit (GPU) Companies

• Nvidia Corporation (U.S.)
• Advanced Micro Devices (AMD) (U.S.)
• Intel Corporation (U.S.)
• ARM Limited (U.K.)
• Qualcomm (U.S.)
• Apple (U.S.)
• Imagination (U.K.)
• Jing Jiawei (Taiwan)
• VeriSilicon (China)
• Tianshu Zhixin (China)
• Zhaoxin (China)
• moore thread (China)
• boarding technology (U.S.)
• Innosilicon (China)
• Biren Technology (China)

KEY INDUSTRIAL DEVELOPMENT

March 2024: NVIDIA has unveiled the Blackwell platform, heralding a new era in computing. This advanced GPU infrastructure integrates six innovative mechanisms designed to accelerate computing processes significantly. These mechanisms facilitate groundbreaking advancements across various fields, including engineering simulation and data processing. Additionally, the Blackwell platform enhances electronic design automation and empowers quantum computing applications. It also plays a crucial role in computer-aided drug design, streamlining the development of new treatments. Furthermore, the platform supports generative AI, enabling creative applications and efficient data manipulation. Overall, NVIDIA’s Blackwell platform is set to transform industries and drive significant technological progress.

REPORT COVERAGE

The study encompasses a comprehensive SWOT analysis and provides insights into future developments within the market. It examines various factors that contribute to the growth of the market, exploring a wide range of market categories and potential applications that may impact its trajectory in the coming years. The analysis takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth.

The research report delves into market segmentation, utilizing both qualitative and quantitative research methods to provide a thorough analysis. It also evaluates the impact of financial and strategic perspectives on the market. Furthermore, the report presents national and regional assessments, considering the dominant forces of supply and demand that influence market growth. The competitive landscape is meticulously detailed, including market shares of significant competitors. The report incorporates novel research methodologies and player strategies tailored for the anticipated timeframe. Overall, it offers valuable and comprehensive insights into the market dynamics in a formal and easily understandable manner.