Ubuntu 20.04 does not use Nvidia GPU

In general, the nvidia gpu is still in on-demand mode, to use it, prepend
__NV_PRIME_RENDER_OFFLOAD=1 __GLX_VENDOR_LIBRARY_NAME=nvidia
e.g.
__NV_PRIME_RENDER_OFFLOAD=1 __GLX_VENDOR_LIBRARY_NAME=nvidia glxgears
or right-click on an application icon and select “run on dgpu”.
Nevertheless, there’s something wrong since you selected “performance mode” in prime-select/nvidia-settings.
Please post the output of
sudo systemctl status gpu-manager

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