The comparison done by the AMD announcement and by everyone else compares the Zen 5 cores, which will be used both in their laptop/desktop products and in their Turin server CPUs, with the Intel Emerald Rapids and the future Granite Rapids server CPUs.
As you say, Intel has abandoned the use of the full AVX-512 instruction set in their laptop/desktop products and in some of their server products.
At the end of 2025, Intel is expected to introduce laptop/desktop CPUs that will implement a 256-bit subset of the AVX-512 instruction set.
While that will bring many advantages of AVX-512 that are not related to register and instruction widths, it will lose the simplification of the high-performance programs that is possible in 512-bit AVX-512 due to the equality between register size and cache line size, so the consumer Intel CPUs will remain a worse target for the implementation of high-performance algorithms.