NVIDIA’s Data Center GPUs Shipments Reached Almost 4 Million in 2023, Gained 98% AI Market Dominance

NVIDIA's Data Center & AI GPU shipments hit almost 4 million units in 2024 which is incredible growth for the company as it aims to retain its dominance within the segment with its vast array of products and a solid roadmap in the coming years.

It's one of the first times we have seen NVIDIA's shipment figures pop up since, on previous occasions, they were merely estimates based on the overall revenue generated.

Back in 2023, the year marked the start of NVIDIA's "super cycle" in the Data Center and AI markets, courtesy of the huge demand that Hopper GPUs and products brought to the firm, along with the start of the AI hype that involved every other big tech company into the integration of the technology. Since having adequate computing power was necessary, NVIDIA was the one to capitalize the most on the hype, and interestingly, we now have figures to support this claim.

According to TechInsights, NVIDIA managed to ship around 3.76 million units of data center GPUs in 2023, which is almost 1 million more than what the company achieved back in 2022. The firm managed to gain a market share of a whopping 98%, wiping out competition from the likes of AMD and Intel. The total data center GPU shipments for 2023 amounted to around 3.85 million units, and considering NVIDIA's portion in this, it's safe to say that competitors stood no chance.

I suspect that because of the growth of AI, it is a little bit inevitable that it will have to diversify from Nvidia. AI alternatives to Nvidia GPUs are emerging in the form of Google TPUs, AMD’s GPUs, Intel’s AI chips, and even CPUs.

- TechInsights

The report suggests that NVIDIA bagged a 98% revenue share with $36.2 billion, three times more than in 2022. Interestingly, AMD and Intel receive a minor share of the total market revenue since the companies can only ship around half a million units (500K AMD / 400K Intel).

TechInsights says that right now, there isn't enough AI hardware to sustain the demand from the markets, and because most of the demand is actually for NVIDIA's products, it's surely going to be difficult for competitors to make strides right now, but hope is there as the analysts expect diversification.

With the Blackwell products hitting the supply chain, one can only imagine the kind of attraction NVIDIA will experience from the markets. While competitors like AMD and Intel are gaining traction with their alternatives, it will take a lot more to challenge NVIDIA's might.

News Source: HPCWire