AMD share of the graphics card market has dropped from 30% To 27%, on the other hand, Nvidia share has risen to 72.8%. Although we are now getting AMD Vega graphics cards on the shelves it seems that it might be too late and the new batch of graphics cards has not had an impact on the Q3 numbers. We have also started to see custom AMD Vega graphics cards from Gigabyte, XFX, Asus and Sapphire.
The market share is dropping because people are not willing to buy graphics cards at prices higher than the MSRP and that is a huge problem. Other than that, AMD is having a hard time supplying enough cards to meet the demand of the graphics card market. That is another reason why AMD share is dropping while Nvidia share is rising.
We have got rumors that AMD is working on a GDDR6 memory controller and if that is indeed the case then the upcoming AMD cards could blow HBM2 out of the water, HBM2 does not help much when it comes to gaming and AMD is facing supply issues due to the complexity of developing HBM2. You can see the change in market share in the graph below.
While AMD Vega had supply issues and was not on the market, Nvidia leaped in and released the Nvidia GTX 1070 Ti in order to take on the AMD Vega 56 as well as the Nvidia Titan Xp Star Wars Edition. Pascal is a proven architecture and there is no denying that it is very efficient and is very competitive as compared to the AMD graphics cards lineup.
If you are in the market for a new graphics card then you can check out our graphics card buyers guide that covers all the graphics cards at all the resolution and price points.
Let us know what you think about AMD share dropping and whether or not you think the company can bounce back now that we have AMD Vega shipments coming in and that production has increased.