Graphics Card Market

Global Graphics Card Market Size (2024 to 2029)

According to our analysis report, the Global Graphics Card Market is projected to reach USD 333.05 billion by 2029 from USD 79.39 billion in 2024, with a compound annual growth rate (CAGR) of 33.2% during the forecast period. North America accounted for the highest share of this market due to the presence of key market players. The integrated graphic cards registered the lion’s share in the global market and are likely to remain dominant in the foreseen period.

A graphics card is computer hardware or a printed circuit board in the central processing unit that generates graphics output to the display devices. The major component of the graphics card that improves performance is the graphics processing unit (GPU).

MARKET DRIVERS

The primary factor attributing to the growth of the graphics card market is the increased demand for the online gaming industry across the world. In particular, the surge in gamers, irrespective of demographics, is driving the need for high-performance graphics units to enhance the gaming experience. The increasing advancements in technology and the adoption of augmented reality (AR), virtual reality (VR), and others are creating a huge demand for highly effective graphics cards. Besides, the expansion of these components into other sectors like healthcare, industries, and artificial intelligence, along with the use of consumer electronics like smartphones, wearables, and tablets, is supposed to boost sales in the global graphics card market. With the widespread digitalization around the world, there is a huge scope for the graphics card to support the timely activities of the service providers. Similarly, the trend of remote working has augmented virtualization technologies, contributing to the growth of the graphics card business.

Besides, the latest developments in the entertainment industry, coupled with the adoption of 3D images, are positive aspects of the market. The spike in the video editing and commercialization of media content is necessitating the implementation of advanced GPUs. In the healthcare sector, these components are finding usage in medical imaging and analysis technologies. Similarly, the advent of autonomous driving and connected vehicles in the automotive sector is also supporting the adoption of advanced graphic cards. Moreover, the ongoing research and development activities to improve the performance of existing GPUs and support the applications of machine learning, artificial intelligence, and supercomputers are predicted to create lucrative growth opportunities for the graphics card business in the future.

MARKET RESTRAINTS

The major challenge in the graphics card market is the uncertainty in the availability of semiconductors used in the production of these GPUs. Also, the increasing process of graphic adapters due to the high demand and low supply of semiconductors is a downside for the business. In addition, the recent increments in cryptocurrency mining are generating never-before-seen demand for GPUs in the international market, which are affected by the shortage of semiconductors and fluctuations in costs. Besides, the issues concerning the environmental impact caused by the electronic dump and hardware can affect the overall sales in the graphics card market. Further, the intense market competition that is leading to increased prices and reduced profit margins is also challenging the graphics card market. Moreover, the complexities involved in the rapid development of highly functional GPUs in a shorter period to meet the consumers’ needs are posing a threat to the graphics card market.

Impact of COVID-19 on the graphics card market

The COVID-19 pandemic had an initial negative impact on the global graphics card market. The lockdown situation across the world led to supply chain disruptions and logistics challenges for manufacturers and product distributors. Strict government restrictions forced industries and start-up companies to halt research and development activities, thereby impacting the innovation and production of new units. Also, the COVID-19 pandemic led to a change in priorities for people and companies, resulting in postponement and delays in production. In all the sectors, the major focus was shifted towards immediate needs, affecting the demand in the graphics card market. Further, the strict social distancing measures, travel limitations, remote working, and other safety measures negatively impacted the productivity and development of the business. On the contrary, work-from-home conditions and alone time due to lockdown have skyrocketed the gaming and entertainment industry, which has created more demand for graphics cards. This positive trend is likely to continue and expand exponentially in the following years.

REPORT COVERAGE:

This research report on the global graphics card market has been segmented and sub-segmented into the following categories.

Global Graphics Card Market – By Type

• Discrete Graphic Cards

• Integrated Graphic Cards

Discrete graphics cards are majorly used in gaming consoles and industries, accounting for a significant portion of the global graphics card market. Integrated cards are mainly found in personal computers, laptops, and smartphones. Due to the increasing digital commerce and easy availability of consumer electronics, the integrated graphic cards segment is predicted to rule the worldwide market in the forecast period.

Global Graphics Card Market – By End Use

• Desktops

• Laptops

• Smartphones

• Workstations

• Others

The desktops segment holds the dominant share of this market owing to the highly developed gaming industry and the use of these products in corporate offices. However, the smartphone segment is anticipated to witness the highest demand due to the surge in the purchase of smartphones, tablets, laptops, and smart televisions. In addition, the latest developments in smartphones and the adoption of small-sized and hybrid GPUs are augmenting the sales in this segment.

Global Graphics Card Market – By Application

• Gaming

• Automotive

• Healthcare

• Consumer Electronics

• Industrial

• Aerospace

• Others

Gaming applications dominate the global graphics card market and are likely to expand at a considerable rate in the coming years. The surge in cloud gaming platforms and consumer preference for enhanced experience are promoting the sales of GPUs in this segment. The latest trend of eSports is also contributing to the developments in the gaming sector. Besides, the developments in medical imaging and advanced display machines are boosting healthcare applications.

Global Graphics Card Market - By Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East and Africa

North America holds a significant portion of the global graphics card market. The USA is the leading market in this region, with a high adoption rate of gaming, consumer electronics, and wearables among the people. The spike in research and development activities to improve the performance of GPUs is creating a positive outlook for the market in North America. In addition, the increasing adoption of novel technologies such as artificial intelligence, virtual reality, and the Internet of Things is estimated to promote business in this locale in the coming years.

The Asia Pacific region is estimated to witness the highest growth rate in the foreseen period due to the expanding demand for consumer electronics and the robust manufacturing environment for printed circuit boards. The rapid industrialization with foreign investments, setup of manufacturing plants, and technological advancements in nations like India, South Korea, China, and Japan are supporting the market boom in this locale. The rising investments in the gaming industry and automotive industry to enhance the user experience are further predicted to fuel the business in the APAC countries.

Europe is also a notable market that will grow at a significant rate in the future with the latest innovations in the gaming industry and investments in emerging technologies like IoT and 3D imaging. Germany, France, and the United Kingdom are the leading countries in the European market. Also, the rapid developments in multimedia applications and eSports are supposed to drive the European graphics card market in the forecast period.

Latin America is an emerging region in the global graphics card market owing to the recent changes in the local economy and improved government investments in research activities. Brazil and Mexico are the leading nations in this market, with increasing numbers of gaming enthusiasts and content creators and rising demand for smart products like televisions and wearables.

The Middle East and Africa region has comparatively a smaller presence in the global graphics card market. However, the latest technological developments and funding for advanced research activities will create business opportunities in this area in the future. The suitable economic conditions and high purchasing power of people are encouraging the market players to invest in this locale.

KEY MARKET PLAYERS

The major players of the graphics card are NVIDIA Corporation, Intel Corporation, Gigabyte Technology Co., Ltd, ASUSTeK Computer Inc., Micro-Star International Company, Advanced Micro Devices (AMD), Inc., EVGA Corporation, Palit Microsystems Limited, Zotac International Limited, Inno3D, SAPPHIRE Technology Limited, PNY Technologies, Inc., Qualcomm Technologies, Samsung Electronics, Siemens AG, Sony Corporation, IBM Corporation, GALAX, Maxsun, Apple, Microsoft Corporation, and Google LLC.

RECENT HAPPENINGS IN THE MARKET

• In October 2023, Intel Corporation introduced an affordable graphic card Arc A580 that slots below the existing A750 graphics card. With its intention to launch the second-generation graphics cards in 2024, Intel launched its Arc A580 as a part of the first-generation line-up.

• In April 2023, NVIDIA Corporation launched its new GeForce RTX 4070, bringing the existing Ada Lovelace architecture and DLSS 3 to more gaming users and content creators at a reasonable price of $599.

• In June 2023, AMD announced the launch of seven GPUs to enhance laptop performance. Of these, four are new RDNA 3-based models in the mid-range 7600 and 7700 series and the remaining three are modifications to the existing low-end RDNA 2 laptop GPUs.