It is a good move. They need to compete. This is a good solution in doing so. If they solve it and bring their solution to be as good as DLSS that will remove a big barrier imo.
Yup, it was all very well saying "we support all gpus and our tech works on everything" etc. but as shown by the poll here and other sites, who cares when people don't want to use it? If they do end up locking it to RDNA 4 and maybe RDNA 3, it means they have a far lesser userbase to support as well as optimise for, which in theory, means they'll be able to get the best from it.