It has released a report that predicts Reports Valuates growth of the graphics card market a 33.6% arrived in the year 2027. The factors would be augmented reality, advances in gaming graphics, virtual reality, AI, and mining, although video games are given greater importance.
When we talk about the GPU market, we must take into account the entire segment, not just that of desktop or laptop graphics cards. In this case, the sector is divided by types of GPUs, devices, and industry, making it a much larger market than many think. However, this wonderful report breaks everything down a bit and explains what the trends are.
Graphics card growth has only just begun
How is the market divided into graphics cards? In summary, the classification would be as follows:
- Kind:
- Dedicated.
- Integrated.
- Hybrids
- Device:
- Tabletops.
- Tablets.
- Laptops.
- Smartphones.
- Consoles.
- Televisions
- Others.
- Industry:
- Electronics.
- Communications and IT.
- Defense and Intelligence.
- Entertainment and media.
- Automotive.
In 2019, the graphics card market was valued at $ 19.75 billion but is forecast to hit $ 200.85 billion in 2027. This means that the graphics card segment will experience 33.6% growth from 2020 to 2027.
What factors are the engine of this growth?
- The advances in video games and the growth of laptops and desktops in relation to them. Ray Tracing may be of particular relevance here.
- A growing trend of AR (augmented reality) and VR (virtual reality). This has been around for a long time, but it seems that for domestic markets there is still a little left.
- Adoption of Artificial Intelligence in the industry. NVIDIA is one of the pioneers, and the purchase of Arm (still pending) is a sign that the future is here.
- Cryptocurrency mining, something that is considered the future for many.
Trends
The report stops at each factor to elaborate a bit, starting with assessing the impact of the growth of GPUs in video games. The consoles have had to raise the demands and the PC market is a reality in this regard. Due to the hyper-realistic graphics, the demand for GPUs has grown a lot because it has been normalized to play at 4K (something I disagree with), in virtual reality and at high refresh rates.
In the case of augmented reality and virtual reality, the market for people to communicate with machines is going to increase further. In gaming, it must be said that VR seems stagnant, and the fact that NVIDIA does not incorporate USB-C ports in its RTX 3000 GPUs is an example of this.
The IoT will play a role in driving up the growth of graphics cards by 2027. We already see much more elaborate interfaces, which work dynamically in 3D. In addition, advances in dedicated and hybrid GPUs will help IoT systems to meet form factors and power drops to increase autonomy.
Of course, the Valuates Reports report does not stop at AI and cryptocurrencies, key factors in my opinion. NVIDIA works deeply with AI in data centers, enterprise solutions, and even gaming (DLSS). On the other hand, cryptocurrencies are such a powerful market that it has caused 2 overturns in gaming graphics cards: 2017-2018 and from 2020.
Do you think that mining and gaming are the main applicants of GPUs?
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