Canon wants their 50%+ market share back.
Price is one of their tools in that.
A clear price gap between A9II and R5 will make it even
easier to switch back.
Don't worry, Canon will still make a ton of money from that.
Look maybe we simply misunderstand each other here.
If, and that is what I understand you suggest, Canon decides to pit the R5 against the A9 II, they are not going to undercut the price, because video features and resolution easily outperform the A9 II whereas other features might be more similar. So Canon would offer a newer, better camera for a price lower than the A9 II and I don't think that is going to happen. How would they justify a price premium for a potential R1 with a feature set similar to the 1Dx III, assuming it comes anyhwere sooner than the 2024 1DX replacement would come.
I agree with you that they are going going to undercut the A9 II, they have to. But they are not targeting that segment of the market. They are going to target A7R IV and Z7 instead and I see a price higher than the Z7 and close to the A7R IV (maybe even a tad higher, cause 8K).