Intel's competition are the very CPUs it sold over past years. The world is full of 32nm Sandy Bridge customers who aren't quite convinced to upgrade to a Haswell refresh SKU.
The one customer that continuously upgrades his PC hardware are the enthusiasts Gamers.
Now, as thinks are progressing in the PC Gaming world (DX-12, 4K resolutions, 6-8 threaded Gaming Engines etc) the CPU upgrades become less and less important for gamers with Sandy/Ivy CPUs.
GPUs are becoming more and more the dominant hardware to be upgraded in the lifespan of a Gamers PC system not the CPU.
Every game is playable with a SandyBridge Core i3 paired with a high-end dGPU like Maxwell and Hawaii TODAY and will be in the coming years. Im sure that most people here with OCed Sandy/Ivys would upgrade their GPUs TODAY and dont think upgrading the CPU for at least a couple of years.
Higher than 1080p Monitors are becoming cheaper and cheaper and 4K Monitors will become the new standard format in a few years. Combine that with DX-12, and a 4-4,5GHz SandyBridge will be enough for 1440/4K gaming for the next 2-3 years if you have the
appropriate GPU.
The problem Intel is facing currently here is not from the Gaming/enthusiasts Desktop market but from the Mobile/Laptop and the Corporate Segments.
The vast majority of Customers in those segments are fine with a 2GHz dual core CPU, those people dont even have a problem operating devices with 1.3-1.6GHz ARM CPUs.
Why do they need to upgrade in a era of world austerity when they can use what they already have to do their jobs ??
All the above are the reasons Intel is trying to get a foot in the Mobile market. Desktop volume is shrinking, only the gaming segment is doing ok and not in CPUs. The future is Mobile and the reason Intel introduced 14nm Core M first.