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TJ Hooker

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Oh I see, non-k and avx wouldn't improve performance for them...

Also how is getting a pile of reviews with "omg 300W+ " good for them?!
Intel enforcing PL would show their CPUs in a much better light on power usage and overclocking numbers for them would still show the same performance as they do now.
Non-K OC and AVX512 improve performance, but negatively impact their product segmentation. Intel evidently values the latter more highly than the former.

Most people look at performance first, and power draw later (if ever). The benefit to performance in most cases is small, but as long as it provides enough of a boost to product perception to at least make up for any negative impact to product perception from high power draw with unlimited PL, then Intel has no incentive to enforce PL.

Edit: Should have said the performance benefit from unlimited PL is small for125W -K CPUs, looks like 65W CPUs can benefit a lot more.
 
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Non-K OC and AVX512 improve performance, but negatively impact their product segmentation. Intel evidently values the latter more highly than the former.

Most people look at performance first, and power draw later (if ever). The benefit to performance in most cases is small, but as long as it provides enough of a boost to product perception to at least make up for any negative impact to product perception from high power draw with unlimited PL, then Intel has no incentive to enforce PL.
Here is the 12700 locked at 65W compared to unlimited, compared to the K variant.
If intel where keen on product segmentation then enforcing power limits would be number one on their to do list.
The only difference between K and non-K is the warranty.
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TJ Hooker

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Here is the 12700 locked at 65W compared to unlimited, compared to the K variant.
If intel where keen on product segmentation then enforcing power limits would be number one on their to do list.
The only difference between K and non-K is the warranty.
Sure, unlimited PL can make a significant difference in sustained, heavily threaded loads. The vast majority of benchmarks in that review show negligible difference between the different power limits for the i7-12700 however. Or compared to the 12700K for the matter.

Historically, Intel has differentiated and marketed their mainstream lineupts by core/thread count, frequency, locked vs unlocked, and instruction sets (albeit to a much lesser extent). And it seems that's what they're continuing to do*. Maybe it would make sense for them to segment based on power limit, but maybe that's not as marketable if people don't understand the implications of PL or why a higher value associated with power draw could be a good thing. Or maybe having a flexible PL is important for OEM systems. I can't really say.

* Although I admit that AVX512 support doesn't quite fit the trend, as in that case they don't have any consumer chips that support it this gen.
 
Maybe it would make sense for them to segment based on power limit, but maybe that's not as marketable if people don't understand the implications of PL or why a higher value associated with power draw could be a good thing. Or maybe having a flexible PL is important for OEM systems. I can't really say.
You can have controllable TDP but still tell mobo makers that they have to stick to specs until the user agrees to lifting the limits.

The thing that makes this confusing is that intel allows using PL2 for unlimited time and doesn't call it overclocking, this makes soooo many people think that that is the default setting.
And then mobo makers go even above that limit and also enable MCE on top of that and people think that that is the default because reviewers try to hide it as much as possible calling it standard or default.

I think intel doesn't care either way as long as returns stay low and they are not liable for anything, their modern CPUs have so many fail safes by adjusting everything that for them it doesn't matter, nobody is going to send them back any CPU due to mobo makers juicing their CPUs to the max.