That's not how math works. If the chart's fastest card is rated at 100%, and the 2nd card is rated at 78% and the 3rd is rated at 67%, it's not 1.67 / 1.78, but exactly 67%/78% as I stated. Furthermore, using your 1783mhz target actually supports my point even more because it means the IPC difference is even greater than 11.5-14%, not lower as you imply. In any case, your and my analysis arrives at the same conclusion that 1070 should be faster than a 980Ti reference.
Yes, but the chart does not say 100%, 78% and 67%, it says 100% (980), 178% (theoretical 1080) and 167% (actual 1080).
This would be the same as 56% (980), 100% (theoretical 1080) and 94% (actual 1080). Or 60% (980), 107% (theoretical 1080) and 100% (actual 1080).
Either way you end up with the same 4-5% IPC difference. And yes using the 1783 MHz number gets close to your numbers, but that's a coincidence.
Even the famously crippled GTX470 still outperformed the GTX285 by 12% at launch, and that lead extended over time.
And the 470 was only 12.5% cheaper than the MSRP of the 285 ($350 vs. $400), whereas the 1070 will be 41.5% cheaper than the MSRP of the 980 Ti ($380 vs. $650).
So we got a 28% perf/$ improvement from the 470, and if the 1070 is 5% faster than the 980 Ti* we will get an 80% perf/$ improvement this time around.
So basically the 1070 provides a 40% bigger jump in perf/$ than the 470 did compared to the previous generations flagship.
I don't really see the issue here.
*Jen Hsun said the 1070 was faster than a Titan X at the presentation.