Re: "devices with batteries that are half the size but deliver double the run times"
> my tab has an ARM CPU, not a power gobbling Intel room heater
For all the bluster I suspect Intel is is actually aiming at preserving its laptop dominance. Its issue will be that larger ARMs might move into the transformer/laptop space and it needs to get its power consumption tech down before ARM gets its performance up. All devices need screens, so it really doesn't matter to Intel if screens burn most of the battery, just as long as ARM doesn't gain competitive advantage.
If you have a work laptop which doubles as a tablet, are you going to buy your own ARM tablet? Intel need to cut the funding to ARM to strangle its development. I suspect that's a hopeless task. Vendors (samsung, apple, hp) like ARM for ownership (vertical integration) and Intel's prices will never be lower than ARM's unless they cut out the profit margin. Intel will have to be significantly better than ARM, not just match it, to win. Intel's problem is that ARM is good enough, being better delivers unneeded benefits, except perhaps in battery life which, as you point out, is almost moot.
Intel's best hope is to get full-fat windows running well on tablet specs. They'll need to convert the laptop market to a tablet market (BYO keyboard/mouse). I'm not sure they'll want to do that. Even if they do manage it, they still have phones to deal with and the vertically integrated Apple and Samsung who are quite happy to do their own h/w development and HP which (hopefully) will be happy to put some work in on the server side. They've also got to deal with the consumer router market which also has CMOT Dibbler margins and appears to be sprouting NAS capabilities at the top end. About time too!