Your average ARM processor is a Qualcomm Snapdragon or Amazon Graviton, it's not going to win any performance awards. Even the M1 loses out to most Desktop processors once you start talking about multi-threaded performance. It's a great laptop part, proof that a BIG.little architecture is a good idea, and it's massively energy efficient, but it's not 'destroying' Intel parts on raw performance.
ETA: We hear this same rhetoric every time AMD would come out with a part that was better than Intel (Athlon, Ryzen, etc). Intel isn't going anywhere, give them 4-5 years and they'll optimize and sell a part the eliminates the advantages. They've been doing exactly that for 30+ years.