Congrats for those who are happy with AMD fail to stay competitive with Intel.
You pay more for less performance.
Server workloads benefits *a lot* of core scaling, and people are willing to pay for more cores on the same number of sockets. Mobile is an entire new front, and there's plenty of money to be made if you get more performance with less power consumption. But what about the desktop? It doesn't benefit from core scaling as well as server workloads, and power consumption is not the deal breaker it is on the mobile market.
Desktop needs higher clocks and higher ST performance, both things that might hinder core scaling and power consumption, so we can say that the desktop is competing for resources against the server and the mobile market. If the desktop is competing, it must earn the companies more money than in those markets, and here the trend for the desktop business isn't good. The margins in the desktop are lower than in servers and in mobile, and in Intel's case the desktop volumes are already smaller than the mobile market. Why then should Intel focus on the dekstop? That's right, they shouldn't. And the future trends doesn't help. NUC is nothing more than bring a lot of the constraints and benefits of the mobile market to the desktop market, and workstations are using server processors since years ago.
In the end, the question is, are people willing to *pay* for better desktop processors? Given what we see in some threads here, people defending inferior processors for the sake of money not enough to buy a pizza, or worse, not enough to pay *the tip* for the guy deliverying the pizza, I'd say that they aren't. Desktop processors has become a race to the bottom, and soon it will become a place where companies dump trash silicon that doesn't qualify as a server or mobile part.
Is AMD weakness to be blamed for that scenario? No. AMD is a company in a dire situation, but given that Intel is focusing on other markets, the obvious answer for AMD would be to focus exactly where Intel isn't devoting efforts if there was money to be made there. The fact that AMD decided to focus on the penny-profits embedded market, says a lot about what the company expects from the desktop market. Whatever returns AMD expects from the desktop market, they are smaller than what they expect from the XBO/PS4 ROI, and embedded is *never* amont the top ROI projects a MPU company can think of.