Market Overview:

The Graphics Processing Unit (GPU) Market size was valued at around USD 132.01 Billion in 2023 and is expected to reach a value of USD 526.64 Billion by 2031, at a CAGR of 33.3 % over the forecast period (2024–2031).

The increasing demand for specialized processors that can handle intricate mathematical computations linked to 2D and 3D graphics is the main factor driving the global market for graphics processing units. The market is expanding as a result of processors being used more often to serve graphics applications and 3D content across a number of business verticals, including manufacturing, healthcare, real estate, and automotive. For example, CAD and simulation software supports graphic processing units to generate photorealistic graphics or animations, to boost manufacturing & design applications in the automobile sector.

Additionally, the global GPU market is expanding due to the increasing use of portable computers, such as laptops. Moreover, the growing number of complex visual games is the main factor propelling the market's growth. The industry is expanding since these demanding application games require graphic cards with a lot of RAM. But the global GPU industry is predicted to develop at a slower rate due to the rise of mobile gaming and the waning need for desktop computers. Furthermore, the market's expansion may be hampered by integrated GPUs' inability to support visual design software that is intensive.

Furthermore, the COVID-19 pandemic's operational disruptions in the electronics sector have had an impact on GPU output. The supply chain and distribution routes were impacted by the coronavirus pandemic, which in turn had an impact on the sectors that depend on GPU components. However, the market for graphics processing units is expected to have enormous prospects in the upcoming years due to the growing demand for animation-based games like FIFA, the necessity for speed, and the growing usage of virtual reality headsets.

Market Dynamics:

Market Drivers:

Rise of Artificial Intelligence (AI) and Machine Learning (ML) Applications

• The increasing demand for GPUs in artificial intelligence (AI) and machine learning (ML) applications. GPUs are well-suited for parallel processing tasks, making them highly efficient for handling the computational workloads associated with training and inferencing algorithms in AI and ML models. As organizations across various industries embrace AI and ML technologies to gain insights, automate processes, and enhance decision-making, the demand for high-performance GPUs capable of accelerating complex calculations and neural network training continues to rise. GPUs enable faster processing of large datasets, enable real-time analytics, and support the development of sophisticated AI applications such as natural language processing, computer vision, autonomous vehicles, and deep learning. The growing adoption of AI and ML across industries drives demand for advanced GPU solutions, stimulating innovation and investment in GPU technology development.

Expansion of Gaming and Virtual Reality (VR) Markets

• The expansion of the gaming and virtual reality (VR) markets. GPUs play a crucial role in delivering immersive gaming experiences and high-fidelity graphics rendering in modern video games and VR applications. With the increasing popularity of gaming platforms, eSports, and VR gaming experiences, there is a growing demand for powerful GPUs capable of rendering high-resolution graphics, realistic visual effects, and smooth frame rates in gaming environments. Additionally, the emergence of VR technologies and augmented reality (AR) applications in gaming, entertainment, and simulation industries requires high-performance GPUs to deliver seamless immersion, motion tracking, and interactive experiences. As gaming enthusiasts and content creators seek to push the boundaries of visual realism and immersive storytelling, the demand for cutting-edge GPU technology continues to drive innovation in the gaming and VR markets, creating opportunities for GPU manufacturers to develop next-generation graphics solutions.

Market Trends:

Rise of Ray Tracing Technology

• The rise of ray tracing technology. Ray tracing is a rendering technique that simulates the behavior of light in a scene to create highly realistic and immersive graphics with accurate lighting, shadows, reflections, and refractions. Historically, ray tracing has been computationally intensive and primarily used in professional graphics applications such as CGI rendering for movies and architectural visualization. However, with advancements in GPU architecture and hardware acceleration capabilities, real-time ray tracing has become increasingly feasible for consumer-grade GPUs in gaming and interactive graphics applications. Gaming developers and content creators are leveraging ray tracing technology to deliver cinematic-quality graphics and visual effects in video games, virtual reality (VR) experiences, and immersive simulations. The market for GPUs is being significantly shaped by the introduction of ray tracing technology, which is increasing demand for high-performance GPUs that can render ray tracing in real time and improve user graphics and gaming experiences.

Focus on Energy Efficiency and Thermal Management

• The increasing focus on energy efficiency and thermal management in GPU design and manufacturing. As GPU performance and computational power continue to scale with each new generation of hardware, the challenge of managing power consumption and heat dissipation becomes more critical. High-performance GPUs consume significant amounts of electrical power and generate substantial heat during operation, which can lead to thermal throttling, performance degradation, and reliability issues if not adequately managed. GPU manufacturers are investing in innovative thermal solutions, advanced cooling technologies, and power optimization techniques to improve energy efficiency, reduce power consumption, and enhance thermal performance in GPU designs. These efforts include the development of more efficient cooling systems such as vapor chamber cooling, heat pipe solutions, and advanced fan designs to dissipate heat effectively and maintain optimal operating temperatures. The focus on energy efficiency and thermal management reflects the industry's commitment to sustainability, performance optimization, and user experience improvement in GPU products.

Market Restraining Factors:

Intellectual Property (IP) and Licensing Restrictions

• The presence of intellectual property (IP) and licensing restrictions imposed by GPU manufacturers and semiconductor companies. GPU technologies and architectures are protected by patents, copyrights, and trade secrets, which may limit the ability of competing companies to develop and commercialize their own GPU designs or technologies. GPU manufacturers often enter into licensing agreements and cross-licensing arrangements to access proprietary technologies, intellectual property portfolios, and manufacturing processes, enabling them to bring innovative products to market and maintain a competitive edge. However, the complexity and cost associated with licensing GPU technologies may act as a barrier to entry for new market entrants and smaller players seeking to develop alternative GPU solutions. Additionally, IP and licensing restrictions may lead to legal disputes, litigation, and regulatory scrutiny, which can disrupt business operations, delay product launches, and impact market dynamics in the GPU industry. As a result, IP and licensing considerations play a significant role in shaping competition, innovation, and market access in the GPU market landscape.

Key Industry Developments:

• In May 2023 - MediaTek partnered with NVIDIA to deliver a complete range of in-vehicle AI cabin solutions for the next generation of software-defined vehicles. By means of this partnership, MediaTek would create automotive SoCs by fusing NVIDIA AI and graphics intellectual property with a new NVIDIA GPU chiplet.
• In August 2022 - Intel Data Centre GPU Flex Series Arctic Sound-M was introduced for the Intelligent Visual Cloud. The Flex Series GPU has five times the video transcodes throughput capability and supports up to 68 simultaneous cloud gaming streams, making it ideal for intelligent visual cloud applications.

Report Coverage:

The report will cover the qualitative and quantitative data on the global Graphics Processing Unit (GPU) Market. The qualitative data includes latest trends, market players analysis, market drivers, market opportunity, and many others. Also, the report quantitative data includes market size for every region, country, and segments according to your requirements. We can also provide customize report in every industry vertical.

By Type (Dedicated, Integrated, Hybrid), By Device (Computer, Tablet, Smartphone, Gaming Console, Television, Others), By Industry Vertical (Electronics, IT & Telecommunication, Defense & Intelligence, Media & Entertainment, Automotive, Others)

Report Scope and Segmentations:

Graphics Processing Unit (GPU) Market Players Analysis:

• Intel Corporation
• Advanced Micro Devices Inc.
• Nvidia Corporation
• Imagination Technologies Group
• Samsung Electronics Co. Ltd
• Arm Limited (soft Bank Group)
• EVGA Corporation
• SAPPHIRE Technology Limited
• Qualcomm Technologies Inc.
• Microsoft Corporation
• ASUS
• Apple, Inc.

Graphics Processing Unit (GPU) Market Players & Competitor Analysis: The report covers the key players of the industry including Company Profile, Product Specifications, Production Capacity/Sales, Revenue, Price and Gross Margin 2024-2031 & Sales with a thorough analysis of the market’s competitive landscape and detailed information on vendors and comprehensive details of factors that will challenge the growth of major market vendors.

Graphics Processing Unit (GPU) Market Segmentation Analysis:

By Type

• Dedicated
• Integrated
• Hybrid

By Device

• Computer
• Tablet
• Smartphone
• Gaming Console
• Television
• Others

By Industry Vertical

• Electronics
• IT & Telecommunication
• Defense & Intelligence
• Media & Entertainment
• Automotive
• Others

The report also helps in understanding Global Graphics Processing Unit (GPU) Market dynamics, structure by analyzing the market segments, and project the Global Graphics Processing Unit (GPU) Market size. Clear representation of competitive analysis of key players by type, price, financial position, product portfolio, growth strategies, and regional presence in the Global Graphics Processing Unit (GPU) Market make the report investor’s guide.

Segmentation Analysis:

The market scope is segmented because of By Type, By Device, By Industry Vertical.

By Type

Based on the Type of the market is segmented Dedicated, Integrated, Hybrid.

Hybrids are anticipated to grow at their fastest rate. With the help of a tiny specialized memory cache, a new breed of GPUs known as hybrids may share memory with the system and make up for the system RAM's excessive latency. Hybrid GPUs typically incorporate components from both high-end and low-end GPUs. The ability of laptop makers to integrate high-end and low-end GPUs is what is driving the emergence of hybrid graphics processing units. To make GPU integration easier, a number of GPU vendors have created hybrid graphics technologies. Examples of these include AMD's Hybrid CrossfireX, Nvidia's TurboCache, ATI's Hyper Memory, and others.

GPU hardware is being used more and more in games and visual graphics applications. The management of many processes was made possible by a new GPU hardware scheduling function that Microsoft Corporation added to the Windows 10 release in May 2020.

By Industry Vertical

Based on Industry Vertical the market is segmented into Electronics, IT & Telecommunication, Defense & Intelligence, Media & Entertainment, Automotive, Others.

The market is expected to grow at the quickest rate during the projected period in the automotive application sector since graphics processors are widely used in design and engineering applications. The need to keep up a continuously growing product line, adjust to shifting market demands, and react swiftly to new vehicle advancements is becoming increasingly great for automotive design departments.

The IT and telecommunication industry vertical includes companies involved in software development, telecommunications services, network infrastructure, and cloud computing. GPUs are utilized in data centers, server farms, and cloud computing platforms to accelerate data processing, machine learning algorithms, and parallel computing tasks. In the IT and telecommunication sector, GPUs enable faster data analysis, enhanced virtualization capabilities, and improved performance in AI-driven applications and services.

Regional Snapshots:

By region, Insights into the markets in North America, Europe, Asia-Pacific, and the rest of the world are provided by the study.  Asia Pacific's graphics processing unit market is projected to develop at a compound yearly growth rate of 32.23% between 2022 and 2029. A rise in gamers is fueling the market's expansion, which in turn is driving up local game creation companies. The fact that well-known GPU businesses are investing heavily in the industry and making notable advancements in it is also creating new growth opportunities for the regional market. RTX 3060S to 3080S under MSRP have recently taken over the Chinese used GPU market. Another effect of the nation-wide spike in GPU purchases is the changes made to the laws concerning cryptocurrencies. As a result, this will help companies in the near future meet the demand for premium cards across the country. Therefore, as was already mentioned, these factors ought to provide profitable opportunities for the Chinese graphics processing unit industry in the years to come.

The North American graphics processing unit (GPU) market is anticipated to grow at a compound annual growth rate (CAGR) of 31.76% due to the demand for GPUs in the defense, media & entertainment, IT & telecommunication, and other industries. Growing government support for virtual reality, the emergence of machine learning startups, and the prominence of large area enterprises are all promising developments for the future of the regional market. The media, entertainment, defense, and IT sectors are the primary industries in North America that employ graphics processing units. Additionally, the growing popularity of portable computers like laptops and smartphones as well as advancements in GPU technology are driving the market's growth. In addition, government support for virtual reality and the rise of several machine learning startups are expected to support the demand for graphics processing units. The number of people choosing video games is on the rise in the United States.

Graphics Processing Unit (GPU) Market Report is also available for below Regions and Country Please Ask for that

North America

• U.S.
• Canada

Europe

• Switzerland
• Belgium
• Germany
• France
• U.K.
• Italy
• Spain
• Sweden
• Netherland
• Turkey
• Rest of Europe

Asia-Pacific

• India
• Australia
• Philippines
• Singapore
• South Korea
• Japan
• China
• Malaysia
• Thailand
• Indonesia
• Rest Of APAC

Latin America

• Mexico
• Argentina
• Peru
• Colombia
• Brazil
• Rest of South America

Middle East and Africa

• Saudi Arabia
• UAE
• Egypt
• South Africa
• Rest Of MEA

Points Covered in the Report:

The points that are discussed within the report are the major market players that are involved in the market such as market players, raw material suppliers, equipment suppliers, end users, traders, distributors and etc.

The complete profile of the companies is mentioned. And the capacity, production, price, revenue, cost, gross, gross margin, sales volume, sales revenue, consumption, growth rate, import, export, supply, future strategies, and the technological developments that they are making are also included within the report. This report analysed 5 years data history and forecast.

The growth factors of the market are discussed in detail wherein the different end users of the market are explained in detail.

Data and information by market player, by region, by type, by application and etc., and custom research can be added according to specific requirements.

The report contains the SWOT analysis of the market. Finally, the report contains the conclusion part where the opinions of the industrial experts are included.

Key Questions:

• How much the global Graphics Processing Unit (GPU) Market valued?
• Which region has the largest share in 2024 for the global Graphics Processing Unit (GPU) Market?
• What are the driving factors for the market?
• Which is the leading segment in the global market?
• What are the major players in the market?

Research Scope of Graphics Processing Unit (GPU) Market:

• Historic year: 2018- 2022
• Base year: 2023
• Forecast: 2024 to 2031
• Representation of Market revenue in USD Million

Graphics Processing Unit (GPU) Market Trends: Market key trends which include Increased Competition and Continuous Innovations Trends: