i7 860 @ 3.9-4.0ghz would be almost as fast as the 980X @ 4.0ghz in games too. A stock i7 860 with Turbo On will never run below 1 speed bank --> 2.93ghz. Still your CPU has 36.5% more frequency. That's a healthy increase.
CPU limitation varies on a game-by-game basis.
In Blizzard games, it's very significant. In a game like Crysis 1/2 or Metro 2033, you are pretty much GPU limited with a modern CPU.
In a game like SKYRIM that hardly uses more than 2 cores, you'll want high frequency and modern CPU architecture efficiency.
So in essence, it's incorrect to say that CPU speed doesn't matter. It depends on the resolution, your GPU and specific games being compared. For instance, if you took an i7 860 2.8ghz CPU and paired it with an HD5570, then you'll be GPU bottlenecked. If you took an i7 860 2.8ghz and paired it with an 2x HD6990s, you'd be CPU bottlenecked in most games. And in games like SKYRIM, you can be bottlenecked by both the CPU and the GPU.
It's important to keep in mind that when people throw the term "bottleneck" around, a lot of times it has to be taken into context properly.
For example, if your CPU can achieve 60 fps but a CPU 2x faster can do 100 fps with the same GPU, you are CPU bottlenecked, but it's not the end of the world. However, if you are severely CPU bottlenecked, your frames might be 30-44 fps vs. 60-70 fps, and thus actually impacting smoothness in many FPSers or racing games. On that basis, the i7 860 2.8ghz with TurboBoost (at minimum 2.93ghz) is likely sufficient for most games with any single GPU card today.
Even in SKYRIM, a stock i7 860 will hit
60 fps with Turbo on. So in that instance, I would say you won't achieve the most optimal performance, but I wouldn't call it a severe 'bottleneck'.