If TDP be damned fine, but now your not talking about an actual SKU that intel will release and only a small niche will chase ( im one of those to a point, but that is irrelevant
) . The other thing is power and its a run away train, more heat means transistors need more energy to switch at the same speed which generates more heat. If you then have to up voltage you get hit quadraticly, The more cores thus more active transistors the harder this is to contain, this 6 core has around 50% more active transistors under full load then your 7700k.
Actually think how much you expect the process to improve, not that it will just improve.
I have been talking about an actual SKU that Intel will release. A hyperthreaded 6 core, Kaby lake cores, at the same clocks as the 7700k is absolutely reasonable on an improved process. Is it possible that there will be a lower threshold for absolute OC's, of course, which is why I said 4.8ghz-5ghz as max. I'd expect 4.8ghz to be more likely. Will a 4.8ghz OC put out a ton of heat and suck down juice, of course but that's nothing new. By your reasoning the 7700k should't exist in the first place because it's a niche product. I really don't think I'm crazy for making those predictions.
Everything is chump change when you earn decent coin, but you become significantly richer by not wasting your money. I will never buy the best CPU or GPU, I will buy at what i consider the best value for money and save my chump change. If you spend 500 more then me per upgrade and we upgrade annually* at a 7% average return then in the end you end up with an outcome that will have very little physically quantifiable benefits and in 30 years i'll end up with 54K.
But by your logic now you have to cool the beast and very quickly your going to end up at custom water loops/phase change etc and into seriously diminishing returns and my relative financial positions looks better and better, like it or not power consumption matters more and more with the more cores you have.
I upgrade my CPU/mobo every other year. The difference in cost between a Ryzen 6 core and what I expect Intel to release is likely $150-$175 which puts the delta between being frugal and buying the absolute best CPU for gaming at $75-$88 per year. That's what I call chump change and yes, well worth it for someone that wants the absolute best for their intended use. I could save $75 a year in any number of ways, or do an hour of side work...
Sigh i hate words like "stomp", i just did the sums for you ( i used toms 7700,7700k,6800k,6900k data as the basis) tell me where i am wrong, infact i think i am being generous. You can do what you can do overclocking wise, but if its dropping into the existing Z270 infrastructure its going to be around 90watts. AMD did the whole 95 to 125watt in the same socket thing, it doesn't work out great.
For 144hz gaming I suspect the a CL 6 core absolutely would stomp the competition, including the 7700k, 6900k, etc. How many Z270 mobos are having problems OC a 7700k to 4.8-5ghz... I suspect most are built fine for the product we're discussing and if they aren't I'm sure Intel would love to sell you a new mobo.
If your going to have a fixed budget and compare configurations then the bigger GPU is almost always going to win money "saved" on a 1600X vs a 7700k priced 6 core will allow a bigger GPU. Even look at the techniques devs are looking at to hit 120hz they aren't worried about CPU they are worried about GPU things like delayed shading, async compute, eye tracking with dynamic resolution etc. Then look at actual next gen game engines (something i wish Bethesda could actually do...lol) just to see how decouple and multithreaded they actually are. I think this talk is worth watching
https://www.youtube.com/watch?v=QJOIvACRY6g
Also just remember games are one of the few areas where DEV's highly optimize hot code. Right now Zen has no targeted optimizations and Zen is a significantly wider core then Skylake, particularly in games Zen runs the worst it will ever run right now, it is a real possibility that games that have optimizations for Zen will out IPC skylake.
Yeah sure your dream CPU will "stomp " Zen in yesterdays games, but why are you upgrading to play yesterdays games?
Certain games like Sins of a Solar Empire are dogs without extremely fast single core speeds, yeah, it's an old game but my brother, myself and a few friends still love it. I'm sure we'll see some improvement with Zen and I expect to see quite a bit with Zen+. I'm a fan of AMD and extremely impressed with what they've accomplished in Zen. I've owned far more AMD products over the years than Intel and NVIDIA and for my friends on a budget I've recommended Zen 1600s be their next builds. I'll more than likely be helping two of them build around Zen this summer. The fact still remains that if there's a six core CPU that will pop into my mobo from Intel, I'll upgrade in a heartbeat. If Intel doesn't release it then I'll reevaluate at the end of this upgrade cycle in a year and buy what's fastest on the market at that time.
* yes upgrading yearly is to often but then i would have to do the compound calculations myself not use an online calculator...lol