If a 7700G cost as much as a 5700X+RX6600 then AMD needs to stop stealing and lower the AM5 prices. They havent doing so because they have zero competition for desktop APUs.
When the 2200G/2400G launched they didnt cost as much as going for a discrete gpu + Ryzen 1200/1400, even something like the GT1030 that was around the same level of performance had a higher price overall both with Intel and AMD cpus. Not to mention the RX550 and the RX560.
Then they lost the necesity to have better apus and started to cut back on IGP size and havent released something new ever since.
If Intel were to release an APU that was faster than the 5700G suddently all these problems of "RDNA3 APUs have to be expensive" would dissapear overnight.
The price of 7700G was calculated based on the current prices for 5700G and 5700X in euro.
Next gen will be very interesting from the IGP perspective. There will be Strix Point and Strix Halo.
Ok, Strix Halo will be expensive, wouldn't be surprised If CPU+dGPU would end up cheaper or more performant in comparison, but still very interesting.
What I am more interested is about Strix Point's IGP improvement.
16CU is not that big an uplift, but If they managed to fix power consumption in RDNA3.5, then It could provide a nice boost unless BW will limit It.
Intel will shortly release MTL. We will see how good the IGP will end up, but I have high hopes at least for the raw performance based on specs.