What are you talking about?
First, AMD has definitely not KO'd Intel in the processor department. Intel has nearly monopolized the best gaming CPU at every price point for the past 3 years. Intel currently retains the best editing processor in the world. Intel held the gaming CPU crown from Nov-2021 to Feb-2023.
Second, it was only partly Intel's arrogance that resulted in the stagnation of their design. Perhaps a bigger factor was their long-term strategy investing their efforts in an increasingly complex instruction set architecture whereas AMD, which never could have competed on those grounds, pursued the older, but simpler strategy of pursuing higher frequencies (while expanding cores). The latter strategy paid off. CISC is sputtering. For that very reason, the ARM manufacturers have caught up to the desktop royalty of AMD and Intel at a speed nobody expected, and that's who both are probably most worried about, not each other. Apple shits on Intel and AMD once you shrink the die size and the power consumption/limit. The M series is arguably the preeminent processor line in the world. Once you marry near parity of ARM processors to Chinese end-to-end ownership, from IP to manufacturing to retail, suddenly everything will be in peril, including servers.
As Steve Burke himself has pointed out, the reason CPU prices are so attractive to gamers right now is precisely because competition is so lively in the processor sector. Conversely, NVIDIA is so far ahead of AMD, and AMD so far ahead of everybody else, that they can effectively dictate GPU prices to the global market, and we'll pay whatever they ask. It's a de facto copacetic cooperative monopoly at this point. AMD is a little bit nicer with their pricing than NVIDIA, but only because they're the beta corporation. If you look at MSRP trends, they've done the same thing NVIDIA has, just to a lesser degree.