It isn't what the market wanted, and by market I mean OEMs, because I'm sure consumers would have loved it.
The OEMs buying APUs to use in laptops and SFF desktops were more interested in cutting costs than boosting graphics performance. Users who want better 3D performance can buy a higher end laptop with a discrete GPU and juicier profit margin.
True, but apple's the benchmark in this space and have managed thin laptops with good battery life and decent (but not class leading) GPU performance.
Doubling the memory width (and tripling the bandwidth) helped Apple's GPU performance substantially and should do the same for AMD. Which means that a larger fraction of the laptop market should consider it "good enough" and still have a reasonable TDP to avoid the 2" think laptop that last for less than an hour on battery while sounding like a hair dryer.
The OEMs buying APUs to use in laptops and SFF desktops were more interested in cutting costs than boosting graphics performance. Users who want better 3D performance can buy a higher end laptop with a discrete GPU and juicier profit margin.