PC GPU Market Faces Challenges as Shipments Decrease by 3.3%: Potential Decline in 2026

The personal computer (PC) market is facing significant challenges this year, particularly within the graphics processing unit (GPU) sector. Both NVIDIA and Intel have experienced a decline in their market share as a result of this downturn.

Trends in the GPU Market: NVIDIA and Intel Decline While AMD Surges

The GPU industry has weathered tough times before, notably during the cryptocurrency boom that hindered gamers’ access to new units. At that time, supply chains were heavily tilted towards professional usage, leaving many consumers empty-handed. Presently, the market is facing its own set of challenges. Recent findings from a JPR report reveal that the sector is grappling with memory shortages and uncertainty in supply chains, leading to a worrying 3.3% year-over-year decline in shipments, with the notebook GPU market hit even harder.

The PC and GPU market is in for some rough sailing with tariffs flip-flopping, memory availability short while prices are rising, and a Mideast war being launched. Nvidia is the only supplier that forecasts a strong next quarter, and that was based on AI. We and other forecasters think the PC market could see as much as a -10% decline in 2026.

– JPR

Interestingly, while major GPU manufacturers like Intel and NVIDIA have witnessed market share declines of 1.2% and 1.4%, respectively, AMD managed to surprise the industry with a 2.6% increase compared to the previous quarter. Notably, current GPU shipments have decreased from the long-term average of 4.7%, prompting manufacturers to reduce output—a situation that is becoming increasingly apparent.

A chart titled 'GPU shipments growth rate' shows fluctuating quarterly growth from Q2'14 to Q4'25, with peaks around Q2'23

As demand for dynamic random-access memory (DRAM) grows each week, key players like AMD and NVIDIA face the necessity of reallocating resources from consumer markets to enterprise sectors, which typically offer higher profit margins. General-purpose DRAM products, such as GDDR7 and LPDDR5, are increasingly being redirected to support hyperscale infrastructure. This shift indicates that gamers may find it increasingly difficult to secure new GPU units.

Furthermore, the disruptions in memory supply have significantly impacted the planned roadmap for GPU releases from manufacturers like NVIDIA and AMD. Due to these constraints, many anticipated launches have been postponed by several quarters. In the short term, the growth outlook for consumer GPUs appears limited, with potential ramifications for retail product availability.

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