Put more simply, I'd rather have a dual core + HT processor of architecture X running at 7Ghz, than a quad (or likely even hex or octo) core+HT processor of the same architecture running at 3.5Ghz.
Assuming everything is being compared at peak, 2x frequency equals 8x the power use. If we say cores take up 80% of CPU power, then that equals in 6.6x the TDP.
At 600W or so you'll probably need at least the best watercooling setup so it can run without frying itself. Don't forget that overclocking will need even more than that.
While quad core users with 3.5GHz base clocks can up theirs to 5GHz with likely less cooling than the stock 7GHz one.
Not to mention Intel will charge like a top-end Xeon E5 chip since having it yield reliably at 7GHz is extremely low.
The Pentium 4 Northwood had more than 2x the pipeline stages of Pentium III to get less than 2x the frequency boost at the same process node. The chip also got more complex, used more power, and lost IPC. At some point of diminishing returns I think its just smart to try to pursue something else to even the "costs"(which can be $$, die sizes, time, etc).
To me, this says more about the lack of advancement in other areas than anything else. We can always find a use for more speed, but if something else is holding us back, we do have to address that area first.
This is basically showing lack of knowledge than anything else IMO. The same can be applied to battery and other renewable technologies. Some believe in the conspiracy that rich smart people are deliberately hindering advancement in battery technology.
Although I can't give a good example for battery technology, I can give for why solar panels have hard time in reducing prices.
I'd like to acquire a cheap solar panel system, so I've computed some costs from eBay. They have major manufacturers selling there so I figured why not.
Sure you can get a solar cell that costs about $0.50/watt or so. That seems wonderful, doesn't it? But add the costs of encapsulation, the glass+frame, the wire connections, electronics, and can easily go over $2/watt. In fact the professionally built systems can go under $1.50/watt(making DIY setups hard to justify) meaning they basically cut costs with mass production. Bigger setups for covering your house may end up at $1.25/watt or so.
Now imagine some manufacturer decides that they'll give away their solar cells, making the solar cell portion $0/watt. You'll still end up with almost $1/watt because of what I call the "support infrastructure".
I assume its the same with EV technologies and battery. If the pace of innovation could have been maintained, it likely would have been.