I think, like all proprietary NV tech, DLSS 3 has its place. It will be absolutely GREAT for any game that isn't "twitchy", like MS Flight Sim and some racing games, and basically any TBS games. Slow, panning scenes will give the AI plenty of data to interpolate frames cleanly and the end user won't really feel any difference in input because inputs tend to be more gradual.
The tech will struggle the most in FPS games (esp competitive ones), 3rd person brawlers & hack n Slash where timing is everything, and RTS games and the like.
I suspect after some additional refinements the gap will narrow a bit, but will still be there.
My opinion on DLSS/FSR/etc remains unchanged: A great way to wring more life out of an old card, but a damn shame if you have to use them on your brand new $1600 purchase.
Edit: RE AMD: AMD isn't going to save anyone from heinous pricing. I think AMD knows they cannot command the outrageous premium the 3090 provides, but its not like the 7xxx series doesn't have its own expenses attached to it (complex packaging, for example). Lisa Su has also discovered the time honored secret to running a successful business: YOU NEED TO MAKE MONEY, MORE SPECIFICALLY PROFITS.
I suspect AMD will price one tier down from NV, but beat them at each tier. $1200 AMD will outperform 4080/16 handily (and possibly scrape with the 4090), $800 AMD will beat 4080/12, etc etc etc. AMD is also in a better position in terms of overstock simply thanks to producing way fewer GPUs than NV (and those GPUs likely having much better margins on account of their smaller die sizes and less exotic memory). If AMD really want's to crap on NV's parade, releasing the N33 at any price lower than $900 will potentially complicate things for NV and its mountain of 3xxx cards.