Jon Peddie Research Names NVIDIA Workstation Leader; 3Dlabs Holds Top Spot in High End Workstation Segment

TIBURON, Calif.--Leading Indicator for Workstations PredictsEleven Percent Growth in Graphics Market in 2002

Leading research firm for multimedia and graphics, Jon PeddieRESEARCH, announced the results of a recent study that once againdemonstrates that the graphics sector outstrips technology industrytrends with eleven percent growth predicted for the graphicsworkstation market in 2002.

According to data collected by Jon Peddie RESEARCH's supply-sidequarterly report, "Market Watch," more NVIDIA Corporation (Nasdaq:NVDA)graphics processing units (GPUs) were shipped in graphics add-in boards(AIBs) for the 3D workstation market than any other supplier,commanding a market share of 65 percent for the second half (Q3 and Q4)of 2001.

The Jon Peddie RESEARCH study counts the unit shipments by 3Dworkstation semiconductor suppliers and separates the market into fourparts: 2D, 3D entry-level, 3D midrange, and 3D high-end. The high-endsegment was captured by 3Dlabs, Inc. Ltd. (Nasdaq:TDDD) with a 70.2%share for 2H01. 3Dlabs supplies graphics accelerator solutions forprofessionals in Computer Aided Design (CAD), Digital Content Creation(DCC), and visual simulation markets. The 3D midrange segment leaderwas NVIDIA, a 2D, 3D video and multimedia semiconductor company, withalmost 68% share for 2H01. In the 3D entry-level segment, NVIDIAcaptures an unprecedented 80.9% for 2H01.

The market for workstation AIBs was $81 million in Q3 and grew to$89 million in Q4 or 10.4% quarter to quarter, bringing the overallyearly sales in 2001 to $315 million, down five percent from 2000, butthe expectation for 2002 is for eleven percent growth in themarket.