If Intel had delivered these two chips on time, it would have really opened up a performance gap with AMD's K6-2.
At some point the sales of non-PC computing devices are going to exceed those of PCs, at least in terms of units, and no way is Intel going to have the kind of market dominance it has in the PC market--there are just so many different types of devices, standards, and vendors.
Intel has a problem: trying to convince people to buy something other than Celeron.
That's probably the biggest issue facing Intel today, and the biggest issue facing the PC market as a whole.