But the vast majority of current operational software is still wintel. It'll take more than a couple of years before ARM is running MS software in any usable fashion.
And every ARM advance that eats into the x86 market usually has a corresponding speed jump and power savings on the x86 side.

20 years ago everyone thought that mainframes would die due to price/performance, but very few people accounted for the incredible inertia of companies running software that would NOT be rewritten for anything else. MFs are still going strong. Old windows PCs have the same issue, running old software that runs businesses and no one want to pay to rewrite/move to anything else.

And even then, intel has rights to the arm and can kick them out at a high volume which means both cheap and high profit.

It might not make a difference when it actually does,but now, and for at least the next 3-10 years it does. Until then there will be the hard separation of the 2.

And intel will own it by virtue of producing 90+% of all x86 chips that make a serious profit. And then not allowing anyone else in the production chain to make any money. They can drop their prices and still make money while driving selected other companies under. All the wannabes nipping at their heels will have slow low priced chips that barely allow them to live, while intel owns the market and sets the rules.