"If AMD lets Nvidia act unchecked, we will all face problems."

Nvidia and AMD are expected to launch new graphics cards in the coming months, but there is a consensus on which of the two is more likely to dominate the market with a standout product. AMD seems to be opting not to compete in the high-end segment this generation, which, while possibly a suitable strategy, is concerning for Nvidia fans, as a lack of competition could be detrimental to consumers overall.

The health of the GPU market is measured by stock availability, the absence of shortages, reasonable prices, and a degree of rivalry among competitors. However, the graphics card market is currently in a delicate situation—not due to a chip shortage, but because of the cooling of competition between AMD and Nvidia. Following the arrival of several Nvidia models earlier in the year, including the RTX 40 Super, AMD has launched few products that have made a significant impact on the market.

For example, the RX 7600 XT has not proven to be a notable improvement over its predecessor, and while the RX 7900 GRE achieved a good balance between cost and performance, the lack of new developments is leading to a feeling of stagnation in the market. Additionally, although both brands planned to launch next-generation GPUs this year, it is unlikely to happen.

The current situation is reflected in the market share of both companies. In the second quarter of 2023, AMD held 17% of the graphics card market, but by the second quarter of 2024, that figure dropped to 12%. Intel has also seen its market share fall, decreasing from 2% to 0% in the same period.

Despite these challenges, AMD has chosen not to focus on developing a high-end RDNA 4 GPU, which is a strategic decision that could leave it behind in terms of memory technology. While Nvidia plans to incorporate GDDR7 memory in its upcoming RTX 50 series, AMD seems to be sticking with GDDR6. However, its cards often offer higher memory capacity and technology like Infinity Cache, which offsets the lower transfer speeds.

As new releases approach, leaks suggest that Nvidia may set exorbitant prices for its RTX 50 series. Figures between $2,000 and $2,500 have been mentioned for the RTX 5090 and between $1,200 and $1,500 for the RTX 5080, which could be harmful to consumers if AMD fails to provide a competitive alternative. Without competition, Nvidia may not feel the need to keep prices accessible.

While it is understandable that AMD seeks to secure its position in the moderately competitive market, this decision is concerning—not only for its fans but also for Nvidia’s fans, as strong competition typically leads to fairer prices and more frequent innovations.

Despite the unsettling nature of the situation, many agree that it is not yet time to panic. AMD has demonstrated its resilience in the CPU market and could do the same in the GPU sector, offering alternatives that could provide adequate performance at a better price compared to Nvidia.

Revelations about the RTX 50 series are anticipated to increase in the coming months, but the lack of information regarding AMD's progress could leave many consumers feeling anxious about a potential shortage of competitive options in the near future.