No one is arguing that Intel is better, I think all of us who aren't impulse-buying this thing are simply arguing "it can't run the (Windows) software that I need".
Let's see how things progress. Hopefully in a year or two there will be serious development with Windows on ARM that allows it to run on these Macs, or M2 Macs, as well as supporting x86 programs through emulation.
I think that's one of the reasons those in the market for new Mac wouldn't want to buy the new AS devices, but that's probably a minority reason.
The M1 chip is an extraordinary technological achievement. Nevertheless, there are several reasons people in the market for a new Mac would want to hold off:
I. Software reasons to wait before buying an AS Mac
A. Low-version-no. OS bugs: The M1 devices require installation of an OS that is version x.1. IME, Apple's software QC hasn't been the best of late, so it's best to wait to until an OS reaches higher version numbers before installing. This isn't an option if you buy an M1, since you have to install Big Sur.
B. Application compatibility: Some mission-critical applications don't yet work with Big Sur (and, again, with the M1 chip, Big Sur is your only choice). E.g., my university says not to upgrade to Big Sur, because (a) it has incompatibilties with On Guard, which they use to verify your device's encryption status when using their VPN; and (b) Macs with Big Sur can't login to Box Drive.
C. Application performance: This will obviously depend on which applications you run, and how important they are to you. Here's an example of one whose performance on the M1 is currently mediocre: No native build is yet available for Mathematica, and it runs relatively slowly on AS under Rosetta 2 (at least relative to expectations--essentially, with Mathematica, a 2020 M1 appears to perform about as well as a 2014 MBP). Here are the WolframMark benchmarks for Mathematica 12.1 (note that this benchmark only uses two cores):
2019 iMac (i9-9900K), native build: 4.48
2014 MacBook Pro (i7-4980HQ), native build: 2.98
2020 MacBook Air (M1), Rosetta 2: 2.97
D. Current inability to run Windows (if needed).
II. Hardware reasons to wait before buying an AS Mac
A. New hardware. This isn't problematic by itself—some of Apple's new hardware has performed fine. The issue is rather that there's no track record. This can be addressed by waiting a couple of months, by which time any obvious problems will have revealed themselves
B. Insufficient connectivity and/or performance. These buyers will need to wait for the higher-end AS Macs expected in 2021.
C. You want to replace an iMac.