Analysis says Nvidia will continue to dominate the AI ​​GPU market in 2024

Over the past year, the demand for Artificial Intelligence (AI) and High-Performance Computing (HPC) has surged dramatically. Led by tools like ChatGPT, a fervor for AI has swept across the globe, significantly boosting the demand for high-performance data center GPUs. This surge has not only catapulted NVIDIA’s revenues but has also sent its stock prices soaring, establishing it as the most luminous star in the industry.

According to media reports, analysts have projected that NVIDIA will continue to dominate the AI GPU market in 2024, with sales expected to reach $40 billion. In contrast, competitors AMD and Intel are forecasted to achieve sales of $3.5 billion and $0.5 billion, respectively.

These figures highlight NVIDIA’s influential stature in the industry, with its sales in AI GPUs far surpassing its rivals. The newly launched Blackwell architecture GPUs have further solidified NVIDIA’s preeminent position in the AI market. The considerable gap between NVIDIA and its competitors might exceed many people’s expectations and suggests that the distance between companies participating in the AI race may continue to widen.

While AMD’s comparable products perform commendably, and its recent Instinct MI300 series has shown robust sales, surpassing the initial internal forecast of $2 billion, they still fall significantly short of NVIDIA’s achievements. AMD has been intensively working on software improvements, including frequent updates to ROCm, but these efforts seem insufficient. Intel’s situation is even more pronounced; its recent launch of the Gaudi 3 accelerator fell short of market expectations, contributing to a decline in its stock price following the release of its first-quarter financial report for 2024.

The future of the AI market is promising, and although NVIDIA holds a commanding lead, other chip companies remain optimistic about securing a share of this burgeoning market. However, for AMD and Intel to catch up with NVIDIA in the AI GPU arena, a substantial amount of work still lies ahead.