Modern GPUs use most of their transistors to do calculations related to 3D computer graphics. They were initially used to accelerate the memory-intensive work of texture mapping and rendering polygons, later adding units to accelerate geometric calculations such as the rotation and translation of vertices into different coordinate systems. Recent developments in GPUs include support for programmable shaders which can manipulate vertices and textures with many of the same operations supported by CPUs, oversampling and interpolation techniques to reduce aliasing, and very high-precision color spaces. Because most of these computations involve matrix and vector operations, engineers and scientists have increasingly studied the use of GPUs for non-graphical calculations. An example of GPUs being used non-graphically is the generation of Bitcoins, where the graphical processing unit is used to solve puzzles.
In addition to the 3D hardware, today's GPUs include basic 2D acceleration and framebuffer capabilities (usually with a VGA compatibility mode). Newer cards like AMD/ATI HD5000-HD7000 even lack 2D acceleration, it has to be emulated by 3D hardware.
[edit]GPU accelerated video decoding

The ATI HD5470 GPU (above) features UVD 2.1 which enables it to decode AVC and VC-1 video formats- GPU from Vaio E series laptop
Most GPUs made since 1995 support the YUV color space and hardware overlays, important for digital video playback, and many GPUs made since 2000 also support MPEG primitives such as motion compensation and iDCT. This process of hardware accelerated video decoding, where portions of the video decoding process and video post-processing are offloaded to the GPU hardware, is commonly referred to as "GPU accelerated video decoding", "GPU assisted video decoding", "GPU hardware accelerated video decoding" or "GPU hardware assisted video decoding".
More recent graphics cards even decode high-definition video on the card, offloading the central processing unit. The most common APIs for GPU accelerated video decoding are DxVA for Microsoft Windows operating system, VDPAU, VAAPI, XvMC, and XvBA for Linux and UNIX based operating-system. All except XvMC are capable of decoding videos encoded with MPEG-1, MPEG-2, MPEG-4 ASP (MPEG-4 Part 2), MPEG-4 AVC (H.264 / DivX 6), VC-1, WMV3/WMV9, Xvid / OpenDivX (DivX 4), and DivX 5 codecs, while XvMC is only capable of decoding MPEG-1 and MPEG-2.