I like flexibility.
I've built nearly all my PCs since 1984, and early on piecemeal was the only choice, because a complete PC was a big box full of parts and more expensive than a new car or a used Mercedes.
Those times are long past, but much of the stuff I build for one purpose, gets reused for other stuff or family later on, perhaps several times over. Perhaps it's the Lego passion from when I was really young, but it's also how we did software later...
So APUs are a bit daft, because they tie tons of stuff that used to be a box full of add-on cards into a single chip where you can't swap out the parts.
And APUs are genius, because -"- and you don't need to add the parts ...although you could, if you really wanted to.
Of course I don't like to pay twice nor do I love to compromise...
When APUs are new, they feel like paying twice the price.
And then they have smaller caches, no V-Cache and/or fewer lanes at lower speeds because limited transistor budget demand a compromise.
At this point the 8700G APU looks pretty ok--except for the price. But that will change. So lets's just hope that its successor isn't too much better when the price has become attractive.
Yesteryear's Cezannes got a good price now, but an iGPU that is quite officially passé.
I'd first use APUs to build compact µ-servers that can double duty as competent desktops, the equivalent of the basic 8-stud Lego brick.
Mini-ITX was my form factor of choice for a long time, because with a case not much taller than an original CD-ROM drive, it made for very compact systems that are good for many things.
When NUCs made Mini-ITX hard to get, I found they cost notebook prices yet lacked all of the extra value: color me not interested.
But eventually NUCs got older and had surplus. Sometimes Intel would use them to sell parts that Apple no longer wanted (NUC8 with a bigger iGPU). In other words: they became interesting.
And that brings me to the Enthusiast NUCs, specifically the G11 Phantom Canyon and the G12 Serpent canyon, quite ridiculous if not outrageous at their original prices.
The G11 Phantom Canyon sports a Tiger Lake i7-1165G7 with an Nvidia RTX 2060m (6GB VRAM), yet was sold at around €400 including taxes, or very nearly the same price as the NUC without that dGPU when I got mine.
The box is very compact, extremely well built and mostly quieter than the equivalent standard NUC. At €30 more than just a Ryzen 8700G, the APU is hard to recommend, but the quad-core NUC is obviously not quite as fast when your workload manages to fill twice the cores on the APU.
The G12 Serpent Canyon has the 6+8 core i7-12700H, adds an ARC A700m with 16GB of VRAM and sold at €700 when I got mine a year or two ago. That's probably rather close to the 8700G in terms of CPU performance, but should easily beat the iGPU part with a dGPU and 16GB of VRAM. Again, that's a full system with lots of ports and interfaces, somewhat thicker than its predecessor and not quite as quiet on peak loads but perhaps difficult to beat with something built on the 8700G APU when €350 need to buy all other parts.
In my book, I got these Enthusiast NUCs very close to bare bone prices, but with a competent dGPU thrown in for free. Of course that's not how Intel tried to design or sell them originally.
So if you're looking for something small and economical to build today with such an APU, you may get better value elsewhere.
If you come back in a year or 18 months, there is a good chance someone will be putting the same chip perhaps together with a mobile dGPU into a small box at a price where it looks much more attractive.
If you just want to build a base system that will work out of the box today, but can be expanded with a beefy dGPU without sucking at CPU a year or 18 month down the road, this APU may be just the base to give you that flexibility.
It's clearly not 'the best' at everything. But I also like having choices and this chip will fill into my mental cabinet of options, even if I happen to never buy one.