The pricing of RDNA3 will probably be similar to that of Ada. AMD wants that fat profit margin as much as nvidia does. They'll probably price their cards slightly below comparable nvidia cards, but only slightly. nvidia (which is far more successful in this market than AMD) thinks that the market will bear >£900 for a midrange dGPU clumsily relabelled as a high end dGPU and >£1500 for the actual high end dGPU. Probably because it has already done so. nvidia is probably right. They're hell bent on riding a diminishing market to destruction. AMD will almost certainly follow suit because they can.
Intel's unreliable mediocrity might be the least bad option for any remaining hope of a mass market for PC gaming. Maybe. But probably not.
I was thinking about this whole situation and came to this conclusion.
Ada is priced so high because Nvidia wants to sell 3000 series cards at MSRP which covers the key price bracket. For AMD to price RDNA3 like Nvidia they need to have cards in the key price bracket (<£700) that they can sell.
So AMD would either need to have an oversupply of RDNA 2 cards (I have not heard any rumours about this), or they would need to restart production of RDNA 2 cards specifically to cover the lower price bracket (We would have heard about them buying TSMC 7nm wafers if this was the case and restarting production could leave them in a very difficult position if Nvidia drops prices for the 4000 series after selling out of 3000 cards).
Failure by AMD to have any GPUs in the key price bracket will simply lead to them failing hard to sell any GPUs this time round and losing market share. As much as they like profit margins they like cashflow as well. If they are not selling RDNA 3 GPUs because they are priced high and they are not selling RDNA 2 GPUs because they EOL, then there is only so much red on your cashflow that you can put up with before you need to react.
Another point, people in the market for £1000 GPU can afford the extra £600 to get a 4090. If you are spending that much money you will get the best of the best. So unless AMD smashes Nvidia out the park, their GPUs will flop at that price point. There is no mining craze so AMD can't rely on people not being able to buy an Nvidia GPU having to buy one of their cards.
Another thing to consider is that AMD really has a once in a life time opportunity to really screw over Nvidia here. If they price their cards close to normal, this devalues all of the 3000 series cards. Someone needs to take that financial hit. Either Nvidia takes the financial hit, or they burn a lot of goodwill with AIBs, distributors and shops by forcing them to take it.
What I expect is that RDNA 3 will be more expensive (+£100) than RDNA 2 at release but quite a bit lower than the 4000 series cards. With only the 7900XT being above the £700.