Would be funny though if Intel just come along and launch a card that lay a smack-down on both Nvidia and AMD on RT and gaming performance
One can dream right?
I think NVIDIA have much more to fear from Intel's entry than AMD do. They're both the market leader in terms of units and revenue (excluding consoles), and also the dishonest monopolist, with very dodgy marketing to boot. Firstly, Intel are huge and if they want to can completely drown NVIDIA's marketing efforts. Secondly, no-one does dishonest, absuive monopolist practices better than Intel - hard as NVIDIA might try.
Also, Intel are absolutely bound to throw their hat in with what AMD are doing on Ray Tracing and virtually everything else. That is, general purpose hardware, and with Intel's might, finally a big push for Vulkan - they've heavily distanced themselves from MS on the API side in recent years.
RTX is really inefficient both in absolute terms and cost / size of silicon. A 754mm Turing GPU minus RTX would be immensely faster using DX or Vulkan RT APIs with its compute based shaders than the 2080Ti could ever be using RTX. The whole thing is a joke, and NVIDIA would have known it very early in the design and simulation phase - long before they got any test silicon. However ... marketing and dishonesty, and selling a big price tag - that's how they justified it.
Problem is, with Intel entering, they're not going to be able to pull the wool over so many people's eyes. Because JHH and fellow execs can't stand to lose face, I expect the 2020 NVIDIA cards to also have RTX ... and it will hurt NVIDIA badly.
Intel will face advantages and disadvantages due to their new entry. Clean slate - no legacy, no backwards compatibility, no continuity. They can design purely for performance / efficiency / cost. Their 10nm process is likely to be a significant disadvantage. It might be a tiny, tiny bit more dense than TSMC / Samsung 7nm EUV, but judging by projected Zen 2 clocks (not on EUV) vs projected Intel 10nm clocks, they're unlikely to be able to clock near the competition, all else being equal.