Match the CPU to the compute workload generated by the FPS goals in the games you want to play, in the conditions you anticipate playing them in (multiplayer? end game? raids?).
Match the GPU to the render workload generated by the visual quality settings you intend to run at your FPS goals.
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The hard caps on performance are set by the CPU and the monitor refresh rate.
Visual quality is adjustable, therefor, any performance related cap imposed by a GPU is always a soft cap that can be adjusted up or down to the inverse of visual quality.In fact, the render workload is so vastly adjustable, that pretty much ANY current technology discrete gaming GPU is capable of playing pretty much any at game at 60FPS. GTX750 at 720P with medium settings will give the same performance (=fps) as a GTX980 at 1440P. The compute requirements to play the game at 60FPS remain largely the same either way, meaning that if it takes an i5 to play the game at a consistent 60FPS, it will require that i5 whether you're playing on the $100 or $500 GPU.
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In the benchmarking world, where we run fixed visual quality settings across all tests, and run single player test sequences with practically no compute overhead, the GTX980 will beat the GTX970 every time because the bottleneck is artificially planted on the GPU all the time.
In the real world, people don't play boring test sequences, they play congested multiplayer conditions with lots of effective units, AI, and physics going on all at once. This is compute intensive. In these real world conditions, the bottleneck bounces back and forth from the CPU to the GPU depending on the conditions. Even flagship CPUs will drop below 60FPS in many of these conditions. When we we consider the real world conditions that people play games in, and not the fixed visual quality settings, single player sequence that we use to "test" hardware, we conclude the following:
The i5+980 is better for playing at higher visual quality settings (like more resolution).
The i7+970 is better for playing at higher FPS.
If you choose the i5+980 because you want more FPS, then you are choosing your hardware from within a bubble that pops the moment you play real games in real conditions and take control of visual quality settings.
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Having said all that, most games simply do not provide much performance scaling from the i5 to the i7, as most of the difference there is in the form of hyperthreading. Since most games do not scale well or saturate well beyond 4 threads, the performance advantages of the i7 are typically not as desirable as the visual quality advantages of the GTX980. YMMV. When working within budget constraints, the i5 is typically going to provide 90-100% of the performance of the i7 in gaming workloads, with about a $100 savings. This makes it a great value gaming CPU!
If you're working on a build that is on the fence there between the i5 and i7, there's always the E3-1231V3 to consider. Same compute performance as an i7-4770 but priced ~$240, often within spitting distance of the price of an i5-4690. If the build won't be overclocked, the E3 is another fantastic value gaming CPU.