AMD remains vulnerable due to uncertainty among its partners and investors, while statements about rising demand contrast with the decline in its share. In Q2 of 2025, AMD’s share in the discrete video card market decreased by half year-on-year, consistently dropping from 8 to 6%.
After this, it is evident that Nvidia, with a 94% share of the graphics accelerator market, is out of AMD’s reach. The situation is becoming even more alarming due to the overall stabilization of semiconductor supply chains. The company remains in the position of a laggard, facing the risk of reduced relevance in the consumer graphics market.
The situation with the Radeon RX 9000 has had a mixed impact on the stock market. AMD shares remain under pressure as investors factor in both a decline in consumer graphics share and increased competition from Nvidia. At the same time, Nvidia shares continue strengthening their positions and demonstrating some of the strongest performance in the technology sector.
Nvidia’s weight in the S&P 500 index and its market capitalization make the company a key driver of the entire index performance, while AMD’s weak results play only a local role for the technology segment. Meanwhile, broader macro trends, including dollar index performance, continue to influence investor sentiment, affecting technology sector valuations and currency-sensitive international sales.
At the recent IFA 2025 exhibition in Berlin, AMD representatives declined to directly comment on the market, surprising observers by stating that demand for the Radeon RX 9000 with RDNA 4 architecture still exceeds supply.
Meanwhile, we can recall that they promised to increase supply quickly a year ago, yet the reverse occurred. AMD Senior Vice President of Computing and Graphics, Jack Huynh, emphasized that the company prefers to focus on internal statistics, without commenting on the reasons for the market share decline.
The prolonged shortage may indicate an internal priority in favor of the Instinct series of computing accelerators, which are used in server systems for AI tasks. AMD doesn’t officially confirm such changes, but indirectly, this is consistent with its strategy. Revenue growth and attention from corporate clients come mainly from the HPC and AI segment. This means limited supply and an increased disadvantage relative to Nvidia for the consumer market.
Moreover, AMD has made it clear that it does not intend to launch a competitor to the GeForce Now cloud gaming service on its own. However, the company is ready to support partners if they demonstrate sufficient interest. This step highlights the limited resources and focus on key areas such as GPUs for local systems, Instinct server accelerators, and processor platforms.
In addition, at IFA 2025, AMD management specifically emphasized the importance of PCs that can effectively work with AI at the local level. According to the company, neuroprocessors (NPUs) will not replace CPUs and GPUs, but will become an additional ecosystem element. The main idea is to create perfect PCs that process sensitive data locally without accessing cloud services. This approach should be of interest to the corporate sector, for which privacy and data security issues are particularly acute.
Amid the problems with discrete graphics, AMD is gradually strengthening its presence in the personal computer segment, especially in corporate computers. Here, the company notes market share growth and sees validation of its integrated solutions strategy — a combination of CPU, GPU, and NPU. For investors and partners, this signals that even if AMD loses its position in a particular niche, it strives to remain competitive through integration and diversification.