Fun fact, even for non-3DVcache CPUs, [for gaming] cache size explains the majority of performance difference between CPUs when frequency is normalized. Core count still largely exceeds what actually gets used by games.
Higher core count CPUs typically have lower frequencies than 6c or 8c CPUs due to power/heat limitations, which is why those 6c or 8c CPUs generally dominate the perf/$. They're not "wasting" unused cores in gaming, and they're getting the frequency benefit.
So yes, as Roland said, if they gave the 7800X3D more 3DVcache, they'd cannibalize sales of the 7900/50 X3D skus almost entirely.