It's not comparing a console to a PC because a console, historically, has had way more firepower than the cost. It's only with recent hikes that that changed. There is no way you could've matched a PS5 at launch for $400 even with the most patient of PC builds.
It's telling that depending on who I talk to, they go "it's a PC, not a console" or "it's a console, not a PC." It's neither and it's both. It brings the PC's flexibility to a console experience, but for $1100 is that enough? It won't be as turnkey as a console (steam deck showed they can't quite get there) and it's hundreds more than one.