It's cool, but only long term will prove whether it'll be a lasting product or not.
The appeal for iGPUs are:
-Battery life
-Form factor
-Cost, of which can greatly justify the above two
You go high end, and you lose the battery life advantage, even against dGPU systems, and the since the manufacturer of the SoC isn't doing it for charity but an opportunity for more revenue, it's no longer a free one like iGPUs are but whether you are actually saving money over a dGPU.
From what we've seen STX-H seems very similar to what STX+dGPU does for idle power. Potentially a little worse, sure, but if you've ever used an optimus laptop, you know how unreliable it is. Sometimes the dGPU will just wake up for a task and eat into your battery and you have little control over it.
Strix Halo does allow for a more seamless experience overall.
You are losing the flexibility of a dGPU, and it isn't all about savings either as you need to start putting dedicated VRAM, most likely with exotic packaging techniques.
What do you mean "you need to start putting dedicated VRAM", the whole point of an APU is that you have a single shared pool of memory.
And on Strix Halo, just regular old LPDDR5X-8000 memory modules are used.
The only real spot where you lose flexibility is if you need that APU to compete with multiple different dGPU dies, say for example you build a big IOD to compete with AD104, but you also need to cut it down to compete with AD106 based laptops. That... Doesn't seem to be the case here, from what it looks like. Strix Halo looks very focused on competing with AD106.
If it's say $500 cheaper on that Asus system, then you must consider how much of that $500 is artificial tax by both Nvidia and the system manufacturer versus actual cost of production. Remember Nvidia has absolutely monopoly on laptops, even more lopsided than on desktops. Will it even be $100 cheaper on a <$1500 system?
That's speculation we don't really have a good basis for, frankly. What we do have are the prices of the old Z13 and the prices of the new ones. The top end of the older Z13 outstrips even the 128GB 395 model in terms of pricing. No matter how you look at it, the main issue with Strix Halo pricing is that evidently the 390 is priced much too close to the 395. That's it.
By the way, there are hidden costs that people aren't realising with a dGPU setup. GDDR modules and cooling them (it will eat into the chassis' cooling budget), if you want the most seamless experience you can get with a dGPU you need a mux and all the advanced Optimus stuff (which adds to board cost significantly). And evidently with the entire Strix Halo package competing with just AD106 on it's own on a perf/W basis, evidently Strix Halo is more power efficient when you factor in CPU+GPU at the same time. These are all going to add up.