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Microsoft Vista dragged down add in graphics card market

And AMD may suffer because of its delays
Sun Mar 25 2007, 16:47
THE GRAPHICS CARD market wasn't brilliant in the fourth quarter of last year but the vendors are hoping for better things come.

It was always thus.

According to display research company Jon Peddie Research, graphics add in vendors shipped 21.1 million units in the fourth quarter, amounting to $4.5 billion in revenue. That's a drop of 2.9 per cent sequentially but 5.7 per cent in year to year terms.

There were several reasons for the lull, said Jon Peddie. The first was the arrival of Microsoft Vista which only appeared this year. The vendors missed the spurt that normally comes with the advent of the Christmas seasn.

Then there was AMD. The chip firm caused uncertainty in the market because the R600 was expected this year. As it transpires, the release of the R600 is an Easter bunny now. And then there were the integrated graphics processors which did well in the second half of last year, soaking up some share for the non-Vista minded, said Jon Peddie Research.

JPR said that Vista isn't the obvious upgrade that XP was over Windows 98 but those who will get it, and their numbers will eventually be legion, will be more likely to buy a higher performance add in board. If they want the Fully Monty - Aero Glass - they'll have to. And they probably will.

The arrival of the R600 in Q2 is set to buy a bit of a dampener on AMD's sales, reckons JPR Research.

Jon Peddie Research


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